Posted on 06/25/2025 11:00:53 AM PDT by Twotone
Around 6 million student borrowers are 90 days or more past due on their student loan payments, and around a third of them, or 2 million, could start having a portion of their wages garnished by the federal government starting in July to pay back their loans.
According to the Wall Street Journal, the number of borrowers at risk of wage garnishments is higher than the 1.2 million that was estimated by TransUnion. Wage garnishments—a legal procedure allowing a portion of wages to be withheld by the government to pay down a debt—could spell lower pay for the student borrowers who are not up to date on payments.
The wage garnishments are set to start back up this summer after the years following the Covid-19 pandemic, where student loans were not being paid off by many borrowers. Those who get hit with wage garnishments could see up to 15 percent of their paycheck automatically deducted to pay off the loans.
In May, the Trump administration restarted the collection of student loans on those who had defaulted on their loans, which had not been routine since the beginning of the Covid-19 pandemic several years ago. At the time of the Biden policy reversal, only 38 percent of student borrowers were current on their loans.
After student loan payments were paused during the pandemic, the Biden administration allowed for an "on ramp" of 12 months where payments would not hurt credit scores, however, that ended last fall, and many of those behind on their loan payments have seen an average 60-point drop in their credit scores.
(Excerpt) Read more at thepostmillennial.com ...
Paging insomniac freepers the Nelson haha requested on this thread
Good. That’s my money and I expect it to be paid back by any legal means.
That’s a shame,...not.
Damn this international travel has scrabble my narrow American mind soon I’ll be calling the international dateline for lotto numbers
LOL. Leftists and Democrats thought “low interest loans” would be another pillar of the permanent democrat welfare society
All it did was raise tuitions at university, lower standards, corrupt university’s ideology, and turn a generation of millenials and Gen-Z into debt slaves.
Terrible optics ping!
But I fear this will make millennials hate Republicans more.
Get the government out of the loan business and cut back on Student Visas. Colleges can lower tuition or go out of business.
I paid my student loans off in the 80’s. I had to work multiple jobs and spend very little.
#Winning #WeVotedForThis
LOL!
Honestly. I can stand no more of this navel gazing some "conservatives" do. I saw that other thread.
There is a lot that needs doing, and little time to do it before the train goes off the cliff.
Just refer the loans to a collection agency. They take a big chunk but it sends a stronger message to the flakes.
Even their tips? 😟
I went through thirteen years of college education without asking the hard working US taxpayers for a dime.
And that meant my wife and I lived on $195 a month, ate on a card table, cooked on a hotplate, and slept on naked box springs resting on concrete blocks.
We NEVER went into debt. And I NEVER asked the hard working US taxpayers to pay for anything.
My mother gave my wife and me some living room furniture. I tried to repay her. She would not hear of it. So when I finished school and began earning money, and she still would not let me repay her, I bought a mink stole and gave it to her as a present.
Oh yeah. I did owe a psychotherapist, whom I had consulted as a teenager, $100. After the first year of medical school, I sold my microscope for $100 and paid him. He said, "Do you really think you need to do this?" I replied, "Yes."
BTW, I was a millionaire at age 40, multimillionaire at 41, retired at 53.
I would be fine with that. When I got out of the Navy, my parents offered to find a way to pay for me to go to school, but there was no way I was going to saddle them with that, even if only a loan with their signature. I think I heard one of my siblings say they already had a second mortgage on the house.
If people are old enough go sign on the line, they are old enough to be bound by a contract.
Good. I paid back mine. My daughter is paying back hers (second degree. We paid for her first).
If you sign on the dotted line,
You are committed to paying back every dime!
Too bad the non-working parasites can’t have their EBT’s, Food Stamps, public housing, etc. garnished.....
I paid off student loans for both my kids who took them out without telling me and a nephew of $12,000. He filed
Bankruptcy on me because he couldn’t on the student loan.
They still take 1/3 of my social security checks to repay emergency catastrophy funds I got after losing everything in the Almeda arson anarchist proven fire plus $10,000 interest!
No warning, they just take it. I paid off the money with a check in full... not good enough!
The Trump administration just ignores me. I’m losing everything again.
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