The Department of Education restarts collections of loans in default on Monday, putting millions of borrowers at risk of having their benefits and wages garnished.
A defaulted loan is a loan that a borrower hasn't made payments on for 270 days, according to the office of federal student aid. When the loan officially enters default, it becomes eligible for mandatory collections.
The 2025 Student Loan Update showed that an estimated 15.6% of federal loans - a new record - were likely past due at the end of last year.
The rule ends the inclusion of medical debt on credit reports and prevents lenders from using certain medical information in loan decisions.
Matt Damon and his wife Luciana are matching donations up to $100,000 to help families with high health care expenses.