Student Loan Collection Efforts

Student Loan Collection Efforts

If you default on your student loans, the Department of Education or the guaranty agency holding your loans can:

  • Send you a letter demanding payment
  • Track you down using government or bank records
  • Report your default to the major credit bureaus
  • Assess collection fees
  • Garnish your wages
  • Intercept your tax refund
  • Sue you

The 360 Degrees of Financial Literacy Web site offers general information for managing personal finances and does not recommend specific financial actions.  For financial advice tailored to your situation, please contact an expert such as a CPA or a personal financial advisor.