The proposed class action lawsuit claims that the Education Department hasn’t actually halted the practice and is continuing to garnish wages in violation of the CARES Act
Education Secretary Betsy DeVos is continuing to garnish the wages of federal student loan borrowers who fall behind on payments even though Congress suspended the practice in the economic rescue package, according to a new lawsuit.claimed in the lawsuit
The department estimated some 285,000 people had their wages garnished between March 13 and March 26, according to The Post. Department officials have previously said they plan to refund all wages seized by the government since March 13, when Trump declared a national emergency because of the coronavirus pandemic. But the agency has not provided any timeline for when all of those refunds will occur.
Yu said that borrowers who are subject to wage garnishment are already among the most vulnerable — even before the economic collapse caused by the pandemic.
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