Summary
The Trump administration will start deducting money directly from the wages of people who have failed to pay back their student loans. The Education Department plans to begin this process in January and will inform about 1,000 borrowers initially, with more notifications to follow. Wage garnishments were previously put on hold due to the coronavirus pandemic.
Key Facts
- The Trump administration will resume collecting money from wages for unpaid student loans.
- The process will start the week of January 7.
- About 1,000 people in debt will receive notifications that part of their paycheck will be withheld.
- More borrowers will be informed in the following months.
- The Education Department paused these collections during the coronavirus pandemic.
