Collections Temporarily Delayed
On January 16, 2026, the Department of Education announced that it was temporarily delaying collection of defaulted student loans, but we don’t know how long that pause will last. If your loans are in default when the delay ends, you could face serious consequences, including losing your tax refunds, a portion of your wages, and even some of your Social Security benefits. Unlike other types of debt collection, the government can take these steps without going to court. There is no statute of limitations on collecting federal student loan debts. This means you could face collection actions for debts that are years old.
Take steps now to make sure your loans aren’t in default! If you are in default, act quickly to get out of default and avoid collections.
Although lawsuits are not very common in federal student loan collection, they can happen. The government does not file these cases as often because it can easily collect on the debt without a court order.
If you have been sued recently for a student loan debt, it is likely that you were sued for a private student loan debt, but you should talk to an attorney to confirm this. See our page on private student loan debt collection for more information.
What can I do if I have been sued by the federal government for student loan debt?
Do not ignore the lawsuit. If you ignore the lawsuit, it is likely that a default judgment will be issued against you. This means that the government will automatically win and could get a lien on your house, seize money from your bank accounts, and garnish your wages. You will likely need to speak with a lawyer to help you respond to a lawsuit to collect on federal student loan debt.
I have a default judgment for federal student loan debt against me. Is there anything I can do about it?
Maybe. If you were not served with the court papers properly, you may be able to ask a court to vacate (overturn) the default judgment. You will likely need a lawyer to assist you with this process.
How can I find a lawyer to help me with a collection lawsuit?
You may be able to hire a lawyer in your area to help you. Depending on your income, you may also qualify for free legal help from your local legal aid organization. See our Find Help page for more information.
