What to do if you’re in default on your federal student loans

The Dallas Morning News

There are many reasons people may be defaulting on their federal student loans, said Betsy Mayotte, president of The Institute of Student Loan Advisors. The nonprofit provides free student loan advice and dispute resolution assistance to borrowers nationwide.

Mayotte said borrowers may be struggling to make their student loan payments again after the federal government issued yearslong pauses on collections and implemented new policies and repayment plans.

“The people least likely to default are the people in the habit of making their student loan payment,” Mayotte said. “These people are going back into repayment at a time when their health care premiums are higher, gas prices are higher [and] groceries are a lot higher.”