West Virginia (CNN) – The Department of Education announced that it will restart collecting federal student loans in default on May 5.
It will end a roughly five-year-long pandemic-era pause and could impact more than five million borrowers.
Student loans go into default after 270 days without payment.
The department is urging borrowers in default to start making a monthly payment, enroll in an income-driven repayment plan, or sign up for loan rehabilitation.
If not, the federal agency could order non-federal employers to withhold a percentage of an employee’s income to pay the delinquent debt.
The announcement comes as the trump administration works to dismantle the Education Department.
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