Student Loan Default Repayment Restart

SOURCE www.npr.org
Millions of Americans will have to start repaying student loans in default, as President Trump's second administration ends the pandemic-era reprieve on federal student loans. Borrowers facing repercussions like wage garnishment and credit score drops.

Key Points

  • President Trump's second administration ends the pandemic-era reprieve on federal student loans
  • Over 5 million borrowers have loans in default, potentially increasing to nearly 10 million
  • Repercussions for those behind on payments include wage garnishment and credit score impact

Cons

  • Millions of Americans facing repayment of student loans in default
  • Borrowers could have wages garnished and credit scores plummet
  • Financial burden and stress on borrowers