The Education Department said Friday it would delay plans to garnish the wages of federal student loan borrowers who are in default.
The department said it will temporarily delay wage garnishment for those who haven’t paid toward their loans in more than nine months as new student loans reforms are implemented this year. It previously sent notices to defaulted borrowers that wage garnishment would begin this month, which could take up 15 percent of a person’s paycheck.
“After the Biden Administration misled borrowers into believing their student loans would not need to be repaid, the Trump Administration is committed to helping student and parent borrowers resume regular, on-time repayment, with more clear and affordable options, which will support a stronger financial future for borrowers and enhance the long-term health of the federal student loan portfolio,” Under Secretary of Education Nicholas Kent said…