U.S. Stepping Up Enforcement on Delinquent Student Loans
U.S. Stepping Up Enforcement on Delinquent Student Loans
from Bloomberg:
[link:https://www.bloomberg.com/news/articles/2019-05-12/u-s-stepping-up-enforcement-on-delinquent-student|]
Your rich Uncle Sam is calling in his chips.
The U.S. government stepped up collections on delinquent student debt to $2.9 billion last year -- or an average of $1,000 from 2.9 million former students and their cosigners, according to the Treasury Department. And the trend continues. In the first six months of fiscal 2019, which started Oct. 1, collections totaled $3.3 billion.
Gotta harass students to cough up in order to fund tax cuts for billionaires.
Key Insights
The Treasury Department may withhold federal income tax refunds, Social Security payments (including Social Security disability benefits) and more
State tax refunds may be also withheld and applied toward repayment of a loan
State drivers licenses or other state-issued licenses may be confiscated
A borrower's employer may be ordered to withhold up to 15% of disposable pay to collect defaulted debt without a court hearing
The articls also states that costs associated with collection of defaulted loans, including use of private collection agencies, can also be added to the balance due, as can processing fees and costs associated with possible civil litigation.
Wow, that's gonna be indefinite indebtedness for some people. Predator deVoid and her ilk will tack on neverending charges. We need policy changes.