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Student Loan Wage Garnishment Resumes for 5.3 Million Borrowers

5/8/2025

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Summary

Story summary

This summer, the U.S. Department of Education will reignite wage garnishment for 5.3 million borrowers in default on their student loans, marking the end of a COVID-19 reprieve. Starting in May, borrowers will receive notices as their wages and federal benefits face deductions, a stark shift from earlier relief efforts aimed at easing the burden of mounting student debt.

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Story summary

This summer, the U.S. Department of Education will reignite wage garnishment for 5.3 million borrowers in default on their student loans, marking the end of a COVID-19 reprieve. Starting in May, borrowers will receive notices as their wages and federal benefits face deductions, a stark shift from earlier relief efforts aimed at easing the burden of mounting student debt.