The U.S. Department of Education will begin involuntary collections on May 5 through the Treasury Department's offset program to address the issue of federal student loans in default. This initiative aims to recover delinquent debts by withholding government payments from individuals with outstanding loans, as more than 5 million borrowers are currently in default, with numbers potentially rising to 10 million. The department's efforts, including wage garnishment, are part of a broader strategy to tackle financial challenges in the federal student loan system and encourage borrowers to meet their repayment obligations.
