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> Education department doesn't have any enforcement arm as far as I'm aware. The IRS will garnish wages for student loans.
by maaku 11y ago
> Education department doesn't have any enforcement arm as far as I'm aware.
The IRS will garnish wages for student loans.
- dragontamer 11y agoYes. IRS. Not Department of Education. IRS is in Department of Treasury, run by Treasury Secretary Timothy Geithner. On the other hand, a study conducted by the Department of Education, run by Education Secretary John King Jr, makes a lot of sense. and is hardly malicious at all. Department of Education wanting to know the effectiveness of their FAFSA loan program (and why or why not people are able to pay those loans back) is definitely a good thing. Besides, all the loans are being handled by Sallie Mae (a private company with some Government support). So its Sallie Mae who is officially on the hook with regards to collections and such. The Department of Education is rather removed from the whole finances thing, as far as I'm aware. So basically, you can assume a malicious force if the IRS or maybe even Sallie Mae began to conduct this sort of investigation. But the Department of Education? Collections isn't their thing. They're likely interested in the state of education, college readiness and the like.
- joshdickson 11y agoTim Geithner has not been Treasury Sec in years. Jack Lew is the current head.
- mountaineer22 11y agoSallie Mae was created in 1972 as a government sponsored enterprise. https://en.wikipedia.org/wiki/Government-sponsored_enterprise https://en.wikipedia.org/wiki/Government-sponsored_enterpris... It didn't become private until 2004, and wasn't expected to be private until 2008. It is much more than a private company with some Government support.