The Department of Education said it will start garnishing wages from borrowers in default early next year, sending initial notices to roughly 1,000 people the week of Jan. 7 and ramping up thereafter. The action targets federal borrowers 270 days past due and follows the end of pandemic-era payment pauses and prior administrative collection pauses. The move rekindled criticism from borrower advocates and legal groups. Persis Yu of the Student Borrower Protection Center called the policy “cruel, unnecessary, and irresponsible,” arguing the department has not sufficiently expanded affordable repayment options. For higher education institutions, renewed collections could affect enrollment decisions, alumni relations and default‑rate monitoring tied to federal program reviews. The policy shifts the collection burden back onto individuals and reintroduces financial risk into students’ post‑college outcomes.