The U.S. Education Department announced a pause on Social Security garnishment for borrowers with defaulted student loans, halting these actions after collections restarted earlier this month. This decision reflects the administration's commitment to protect vulnerable groups, especially those relying on fixed incomes. While a full resumption of wage garnishment is also anticipated later this summer, the department will focus on outreach to borrowers, emphasizing affordable loan repayment options to help them regain good standing amid the regulatory changes.
The Department has not offset any social security benefits since restarting collections on May 5, and has put a pause on any future social security offsets.
The Trump Administration is committed to protecting social security recipients who oftentimes rely on a fixed income.
Borrowing money and failing to pay it back isn't a victimless offense. Debt doesn't go away; it gets transferred to others.
The department is delaying offsets of these monthly benefits for a couple of months and plans to resume sometime this summer.
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