Student Loan Collections Resumption

This is a U.S. news story, published by CBS News, that relates primarily to Linda McMahon news.

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defaulted school loans

CBS News

•

US Politics

As collection for student loans in default resumes, data shows record-high delinquency rates

Summary

Nutrition label

84% Informative

May 5 marks the first day the Education Department's Office of Federal Student Aid restarts collections on defaulted federal student loans.

Referrals for collection had been put on hold since March 2020 because of the COVID-19 pandemic.

One in five borrowers are "seriously delinquent," or have a past-due payment of 90 days or more.

Defaulting on a loan can also tank your credit score, which in turn can make it more difficult to obtain a loan.

May 5 is the first day since March 2020 the Department of Education is collecting repayments from borrowers who have struggled to meet their payment deadlines.

U.S. Secretary of Education Linda McMahon : " American taxpayers will no longer be forced to serve as collateral for irresponsible student loan policies".

VR Score

Informative language

Neutral language

Article tone

semi-formal

Language

English

Language complexity

Offensive language

not offensive

Hate speech

not hateful