Student Loan Collections Resume Today
Account Recovery
MAY 5, 2025
After a five-year hiatus, the Department of Education will resume involuntary collections on federal student loans today, impacting millions of borrowers already in default.
Education Garnishment Student Loans 
Outgoing Administration Publishes Blueprint to Prevent Student Loan Defaults
Account Recovery
JANUARY 20, 2025
On its way out the door, the Department of Education has published a memo outlining the steps that the new administration should take to prevent individuals from defaulting on their student loan payments and the importance of continuing the actions that have been taken by the outgoing administration.
Student loans 
130
130 Join 19,000+
Insiders
Sign Up for our Newsletter
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Webinars
The Hidden Science Behind Why Finance Teams Resist Change—And How to Fix It
Protect What Matters: Rethinking Finance Ops In A Digital World
Your Accounting Expertise Will Only Get You So Far: What Really Matters
Trending Sources
Employers Need Education on Student Loan Garnishments
Account Recovery
MARCH 14, 2024
While still a few months off on the horizon, the date on which individuals with unpaid student loans may start seeing their paychecks and bank accounts garnished is approaching.
Student Loans 130
130 
Steps Involved in Recovering Unpaid Student Loans
Nexa Collect
JUNE 27, 2023
Recovering unpaid student loans is a systematic process. Just like mortgage recoveries, the steps can vary depending on the jurisdiction and the terms of the loan. Offset Tax Refunds and Government Benefits : For federal student loans in the U.S.,
Student Loans 100
100 
Daily Digest – March 14. Getting to Know Matt Jubenville of Midland Credit Management; Passive Debt Buyer Meets Definition of Debt Collector Under FDCPA, Indiana State Law, State Appeals Court Rules
Account Recovery
MARCH 14, 2024
Getting to Know Matt Jubenville of Midland Credit Management Passive Debt Buyer Meets Definition of Debt Collector Under FDCPA, Indiana State Law, State Appeals Court Rules Medical Debt Credit Reporting Bill Advances in Illinois Senate Employers Need Education on Student Loan Garnishments PRA Group Appoints Glenn Marino to Board of Directors WORTH (..)
Stimulus Acts and Student Loans: What You Need to Know about CARES, HEROES, and HEALS
Credit Corp
JULY 30, 2020
As of February 2020, student loan debt in the United States reached a record total of $1.6 Many people are struggling to pay student loans and taking part in various deferment and other assistance programs. Find out more about stimulus help for student loans below. Try ExtraCredit.
Congress Passes Relief for Student Loan Borrowers in CARES Act
Titan Consulting
JUNE 7, 2020
Congress recently passed legislation in the CARES act that provides direct and indirect benefits to Federal Student Loan borrowers. The Act also included assistance for most student loan borrowers who face financial hardship due to the economic impact of the COVID-19. Help Available for Borrowers with Student Loans.
What is a Judgment?
Credit Corp
JUNE 3, 2020
Common methods include wage garnishment , property attachments and property liens. This is known as wage garnishment. The Consumer Credit Protection Act caps these types of garnishments. Nonwage garnishment. If you’re retired, unemployed or self-employed, your bank account may be garnished instead.
Judgment 98
98 
Need to Know About Debt Negotiation and Settlement?
Sawin & Shea
AUGUST 24, 2020
Bankruptcy will wipe out credit card debt, medical bills, and personal loans, but will not eliminate primary obligation debt; things like student loans, child and spousal support, and newer tax debt. Bankruptcy can also stop or delay a home or mortgage foreclosure, stop collection actions, stop garnishments and lawsuits.
8 Million Americans Are in Default With Their Student Debt
Collection Industry News
NOVEMBER 8, 2021
Of the 43 million Americans who hold student debt, roughly a fifth were in default this summer, writes Sarah Sattelmeyer. About the author: Sarah Sattelmeyer is the project director for education, opportunity, and mobility in the higher education initiative at New America. Dreamstime.
Tenth Circuit Adopts “Reasonable Consumer” Standard to Determine Materiality Under FDCPA
Troutman Sanders
SEPTEMBER 19, 2022
the plaintiff defaulted on his student loan payment, and the account was sold to Educational Credit Management Corporation (ECMC), a federal student loan guarantee agency, which then contracted with Pioneer Credit Recovery, Inc. In Tavernaro v. Pioneer Credit Recovery, Inc. , Pioneer) to help collect the debt.
What Is a Judgment?
Credit Corp
MAY 30, 2023
This is known as wage garnishment. The Consumer Credit Protection Act caps these types of garnishments. Nonwage garnishment. If you’re retired, unemployed, or self-employed, your bank account may be garnished instead. Veterans payments, social security, and disability benefits are not eligible for nonwage garnishment.
Judgment 75
75 
New Student Debt Regulations: REPAYE
National Service Bureau
DECEMBER 15, 2015
The United States Department of Education (ED) recently announced two additional regulations (designated REPAYE or Revised Pay As You Earn) which are intended to ease the burden of federal student loan repayment.
What is the Difference Between Secured and Unsecured Debt?
Sawin & Shea
JANUARY 25, 2022
Common types of unsecured debts include: Credit cards Student loans Personal loans Medical debt Back rent Utility bills Child support. These remedies can include garnishing your wages and bank accounts and seizing and selling your non-exempt personal property. Examples of Unsecured Debts.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
MARCH 22, 2021
Department of Education announced that about 72,000 student loan borrowers, who were defrauded by their schools, will receive student loan forgiveness that could total $1 billion. On March 17, Virginia Attorney General Mark Herring announced a new law preventing garnishment or seizure of economic support payments.
DEBT COLLECTION INDUSTRY DEEMS ITSELF ESSENTIAL TO “FINANCIAL HEALTH” OF CONSUMERS, FIGHTS COVID-19 SHUTDOWN
Collection Industry News
JULY 20, 2020
The Education Department is suspending collections on federal student loans and urging private collection agencies to stop pursuing borrowers. The educational motivations of public-minded debt collectors notwithstanding, consumer advocates aren’t convinced. The momentum has reached the federal government.
Garnishment 40
40 
Chapter 7 Bankruptcy Timeline
Debt Free Colorado
DECEMBER 7, 2016
Lawsuits, garnishments, foreclosures, and other collections stop at this time. Take your Debtor Education Course – Within 45 days of the 341 Meeting. Debts Discharged – No sooner than 60 days after your 341 meeting, but not until the debtor education certificate is filed and court filing fees are paid.
CFPB Issues COVID-19 Special Edition Supervisory Highlights
Collection Industry News
FEBRUARY 15, 2021
Consumer risks included delays in processing suspensions of administrative wage garnishments, potential FDCPA compliance risks associated with new bank attachments or wage garnishments, and delays in payment processing. The post CFPB Issues COVID-19 Special Edition Supervisory Highlights appeared first on Collection Industry News.
Garnishment 40
40 
District Court Provides Successful Road Map for Bona Fide Error Defense
Consumer Financial Services Law
OCTOBER 16, 2017
11 2017), the debtor, Berry, defaulted on student loans he had taken out with the US Department of Education. Key to the court’s decision was a review of the policies and procedures implemented and followed by Van Ru representatives during live telephone calls with consumers.
Tax Season Debt Collection Strategies and Why They Matter
Taurus Collect
JANUARY 24, 2023
This involves filing a lawsuit against you, which could lead to wage garnishment – where part of your wages are automatically withheld each month until your debts are paid off – or even jail time in extreme cases where fraud is involved. But if you use the right strategies during tax season, you can make a big dent in your debt load.
Collections 52
52 
Troutman Pepper Weekly Consumer Financial Services Newsletter
Troutman Sanders
NOVEMBER 13, 2023
On November 9, the Department of Education (DOE) announced its plan to implement an oversight strategy of federal student loan servicers that provides several pathways for identifying problems that can harm borrowers, in real-time. For more information, click here. For more information, click here.
Troutman Pepper Weekly Consumer Financial Services Newsletter
Troutman Sanders
MAY 23, 2023
State Activities: On May 19, the Massachusetts Division of Banks and Educational Computer Systems, Inc. administrative penalty for operating as an unlicensed student loan servicer. For more information, click here. ECSI) entered a consent order that required ECSI to pay a $500,000.00 For more information, click here.
How Can I Stop Student Loans from Taking My Taxes?
Credit Corp
MARCH 9, 2021
Going through student loan repayments can be a hassle. However, due to the COVID-19 pandemic, student loan payments and collection attempts have been paused until September 30, 2021. This means you have more time to find ways to repay your student loans before you have a defaulted loan.
How to Challenge Your Student Loans and How to Get Your Student Loans Forgiven
Credit Corp
OCTOBER 31, 2021
If you feel burdened under the weight of student loan debt, you’re not alone. In 2019, the average student loan debt total per person was more than $31,000. The good news is that you may be able to get part or all of your student loans forgiven. Reduce Your Student Loan Payments. In This Piece.
How U.S. Got $1.6 Trillion in Student Loans Debt
Collection Industry News
APRIL 11, 2022
The student loan crisis is a hot topic of conversation in Washington because student debt is felt by a lot of us, 45 million of us to be exact, for a total debt of 1.6 We often break our pink piggy bank that says student loan on it, in an attempt to pay back our debts. The history of student loans.
Federal student loan payments could restart in roughly 2 months — or 6. What to know
Collection Industry News
FEBRUARY 20, 2023
The pandemic-relief policy suspending federal student loan payments has now been extended eight times and spanned nearly three years. 28 over President Joe Biden’s student loan forgiveness plan will solidify the timeline. When will the payments actually resume? It’s still uncertain. In November, the U.S.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
APRIL 18, 2022
Federal Activities: On April 14, the Consumer Financial Protection Bureau (CFPB or Bureau) published a report titled, “ Student Loan Borrowers Potentially At-Risk when Payment Suspension Ends.” Pre-pandemic payment assistance on student loans. Pre-pandemic payment assistance on student loans.
Student Debt Adding Up? What You Need to Know
National Service Bureau
JULY 30, 2015
Student loans generally fall into two categories: federal student loans and non-federal student loans. Federal loans for students: Federal loans fall under one of several categories. Ford Federal “Direct Loan” Program, or the Federal Family Education Loan “FFEL” Program.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
JULY 27, 2020
3841, a bill that protects the stimulus funds under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) from being garnished by judgement creditors and debt collectors, similar to how Social Security payments are exempt from being garnished. The CARES Act offers relief for those with federal student loans.
How Long Will it Take to Rehabilitate a Student Loan?
Sawin & Shea
OCTOBER 5, 2022
Student loan debt is a serious problem in the United States, and it’s an issue that impacts millions of Americans. As of January 2022, around 45 million people have student loan debt, which is 13.5% The total collective amount of federal and private student debt is around $1.75 of the US population.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
AUGUST 9, 2021
On August 5, the Department of Education announced that it is extending the moratorium on federal student loan payments through January 31, 2022. Income-share agreements are a type of student loan, where the borrower receives a loan and then pays a percentage of his/her income after graduation.
Troutman Pepper Weekly Consumer Financial Services Newsletter
Troutman Sanders
NOVEMBER 8, 2022
On November 2, the Consumer Financial Protection Bureau (CFPB) released a blog post, exploring the potential impact of student loan payment reinstatement. The CFPB found that student loan borrowers are increasingly likely to struggle once their monthly student loan payments are reinstated.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
FEBRUARY 8, 2021
The summary also outlines the FTC’s business and consumer education efforts on fair lending issues. USDA also announced that it will temporarily suspend nonjudicial foreclosures, debt offsets or wage garnishments, and referring foreclosures to the Department of Justice (DOJ), and it will work with the U.S. On February 2, the U.S.
Bill Introduced in Senate to Prohibit Garnishments on Student Loan Collections
Account Recovery
MAY 21, 2025
A bill has been introduced in the Senate that would prohibit the garnishment of wages, tax returns, and Social Security checks as a tool to recover unpaid federal student loans. 📜 The big picture: The Ending Administrative Garnishment Act of 2025, introduced by Senators Cory Booker [D-N.J.]
Student loans 130
130 
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
JANUARY 19, 2021
Department of Education to continue excusing borrowers from making payments on their student loans in light of the COVID-19 pandemic. Currently set to expire on February 1, the collection actions subject to the moratorium include garnishment, attachment, and levy. Privacy and Cybersecurity Activities.
8 Million Borrowers At Risk If Student Loan Payment Pause Ends
Collection Industry News
MARCH 28, 2022
A new report claims that 8 million student loan borrowers will be at risk if the student loan payment pause ends. Here’s what you need to know — and what it means for your student loans. Student Loans. The student loan payment pause provided meaningful student loan relief.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
JULY 26, 2021
On July 23, the Biden administration initiated a request for information — the formal process of inviting public comment — to address issues with the Public Service Loan Forgiveness (PSLF) program. Any attempt to garnish or otherwise seize these funds to collect or attempt to collect a debt violates the AG’s Debt Collection Regulations.”
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
MARCH 15, 2021
On March 9, state regulators from California, Colorado, Connecticut, Illinois, Maine, Massachusetts, New Jersey, Rhode Island, Washington, and Wisconsin signed a letter directed to the Department of Education asking for a reversal of policies implemented during President Trump’s administration. For more information, click here.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
APRIL 5, 2021
Department of Education announced an expansion of the moratorium on federal student loan interest and collections on all defaulted loans under the Federal Family Education Loan program. For more information, click here. On March 30, the U.S. On March 29, Florida Governor Ron DeSantis signed SB-72 into law.
Education Department offers a second chance to 7.5 million borrowers who defaulted on student loans
Collection Industry News
AUGUST 23, 2022
Department of Education is giving federal student loan borrowers who’ve fallen behind on their debt a chance to get into current standing. million student loan borrowers who are in default will be able to return to repayment without a past-due balance. Certain loans qualify, and others don’t. also qualify.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
AUGUST 31, 2020
Federal Activities: During the week of August 24, 2020, the Consumer Financial Protection Bureau (CFPB) updated pages relating to student loans and its guidance on protecting credit during COVID-19. Pritzker extended Executive Order 2020-25, which includes limits on garnishments and wage deductions.
Trump administration to garnish wages of 5.3 million defaulted student loan borrowers this summer
Collection Industry News
MAY 12, 2025
The Trump administrationresumed collection effortson defaulted student loans Monday after a roughly five-year hiatus andaffected borrowerscould begin feeling the financial consequences sooner than experts expected. Secretary of Education Linda McMahon in avideoposted on X on April 22. Heres what to know.
Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
JUNE 22, 2021
Federal Activities: On June 18, the Federal Housing Administration (FHA) announced updates to its student loan monthly payment calculations to help provide greater access to affordable single-family FHA-insured mortgage financing for creditworthy individuals with student loan debt, which has a disproportionate impact on people of color.
Trump’s education boss reveals greedy truth behind Biden’s student loan forgiveness: ‘They have profited massively’
Collection Industry News
APRIL 12, 2025
President Trumps education boss Linda McMahon has defended the administrations decision to resumestudent loan debt collections insisting that greedy colleges have profited massively from Biden-era forgiveness measures. million borrowers who are currently in default on their loans. Accountability is a two-way street.
Let's personalize your content