McMahon sends letter to 9M delinquent student borrowers that Bessent is new debt collector — with $425B on line

Source: New York Post

WASHINGTON — Education Secretary Linda McMahon is sending a letter to 43 million Americans with student loan debt — about 9 million of whom are in default — that the Treasury Department is taking over debt collection, The Post has learned. A copy of the letter describes the transfer of responsibilities as a way to protect taxpayers by improving the efficiency of the collection process — after loan repayments were paused through much of the Biden administration, with borrowers protected from delinquency through September 2024. “For too long, Americans have shouldered the consequences of poor leadership and persistent mismanagement of our federal student aid portfolio.