Student loan loan reveals the creditworthiness of creditworthiness as payments.

The borrowers of student loans are exposed to additional financial burdens because the payments have been resumed and changes to the repayment programs were made by credit. Some borrowers have seen that their creditworthiness has decreased, while others expect their wages to be garnished.

Student loan payments were used for almost four years during the Covid 19 pandemic. Although payments were resumed in October 2023, the credit services reported over 270 days over 270 days in January 2025.

Why do some student loan loans see a decline in their creditworthiness?

Some borrowers were not aware of the change and saw their creditworthiness as a result.

Kayla Quinones received an Associate degree in 2020 and did not have to repay her loan until February 2023. The 26-year-old said she found that her creditworthiness between January and March fell by 150 points after making plans for the move.

“Somehow I wasn't sure how that is [student loan] The process went, ”she said, according to CNBC.“ It could have been a little naivety [sic]But I wasn't sure who to pay back. I just have the feeling that I would make e -mails from the Ministry of Education like “Hey, make sure that your payment plans are set up.”

Quinones relied on her savings to pay the overdue amount, but said that she could have avoided the problem if she had made monthly payments. She referred to a lack of understanding over the entire process as a reason for the torture.

She is not the only one. According to the Ministry of Education and CNBC, over five million student loans are currently in arrears. This number could be up to 10 million borrowers in the next few months.

Some borrowers were able to garnish 15% of their wages

On April 21, the Trump government announced that the borrower's part of the wages, tax refunds and social security benefits are used to repay their loans. The Ministry of Education can garnish up to 15% of the borrower's income, it said.

“In an environment in which the cost of living is stubborn, this type of reluctance of your income can have real problems if you try to make rounds and to force people to choose between the most important editions,” said Nancy Nierman, deputy director of the educational use in New York, to CNBC.

Jason Collier, a special school teacher in Virginia, is in this situation. He said that the upbringing of two children and medicinal bills from a cancer diagnosis has already caused financial difficulties and made it difficult to repay his student loans.

“It would only be a pinch,” said the 46-year-old that his wages may be garnished. “If I need a car repair or show up something, I may not be able to do these things.”