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Education Department Pauses Wage Seizures for Millions of Defaulted Borrowers

Education Department Pauses Wage Seizures for Millions of Defaulted Borrowers

Washington, Saturday, 17 January 2026.
Reversing immediate plans to garnish wages, the administration halted forced collections for 5 million borrowers Friday, delaying revenue recoupment to restructure repayment options mandated by 2025 legislation.