Some student loan borrowers could see wages garnished starting in early 2026: ‘Hit where it hurts’

ABC 11 – Raleigh/Durham

“Student loans are the symptom of the problem. The actual problem is the cost of education,” said Mayotte.

“From a collector’s perspective, it certainly gets people’s attention. From a borrower who’s struggling perspective, it can hit where it hurts. I tell borrowers all the time, if you think you can’t afford your payments now, wait till you see how unaffordable it’s going to be if you default and they do start garnishing your wages because most of the time the amount they’re going to garnish is going to be more than the payment amount,” said Betsy Mayotte, President of the Institute of Student Loan Advisors.