Older student-loan borrowers are at risk of losing a chunk of their Social Security. There's a new bill to prevent that.
Sen. Bernie Sanders is introducing a bill to stop student-loan borrowers who default from facing Social Security garnishment.
Sen. Bernie Sanders is introducing legislation to halt Social Security garnishment for older student-loan borrowers and those with disabilities, following a spike in defaults. The Education Department has paused garnishments without specifying when the pause will end. Defaults are at record levels, and many borrowers are facing higher costs and potential job losses due to the elimination of the SAVE repayment plan.
A bill co-sponsored by Sanders, Warren, and Markey would protect these borrowers from having their Social Security payments seized to repay student debt. This comes as student-loan defaults surpass 9 million, and the New York Federal Reserve reports a rise in delinquency rates.
Written by urgent.news from Business Insider's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
