Are you behind on your student loan? Here’s what you should do about wage garnishment
As the federal government resumes collections on defaulted student loans, millions of Americans risk having their wages garnished, tax refunds withheld, or even Social Security benefits seized. So how do you manage this situation?After a five-year pause on collections due to the COVID-19 pandemic, the return to enforcement marks a serious shift for borrowers who are behind on payments as Donald Trump and the Republicans return to the White House.Student loan repayments were suspended in March 2020 as part of an emergency response to the pandemic's economic fallout. Now, with collections officially restarted earlier this May, borrowers in default must prepare for significant financial consequences.According to the U.S. Department of Education (DOE), over five million individuals are already in default, meaning they haven't made payments in more than 360 days. An additional 4 million are in late-stage delinquency (90 days).Friday […]