The Education Department announced a temporary pause on plans to seize tax refunds and garnish wages from borrowers in default, delaying a restart of aggressive forced‑collection tools. The administration’s reversal follows political pressure and public scrutiny over resuming measures that target defaulted federal student loans. The policy pivot drew immediate reactions: supporters hailed temporary relief for borrowers, while fiscal watchdogs called it a costly, politically timed rollback. The Committee for a Responsible Federal Budget labeled the move “an incoherent political giveaway,” estimating a roughly $5 billion annual revenue hit. Colleges and student‑affairs offices should prepare for continued uncertainty in borrower outreach and loan servicing communications as the department reviews collection timelines and Treasury Offset Program operations.