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Student loan companies return to court to collect on private education debt

Student loan companies return to court to collect on private education debt Danielle Douglas-Gabriel, The Washington Post Jan. 21, 2021 FacebookTwitterEmail While the federal government continues to pause the collection of defaulted student loans during the coronavirus pandemic, private companies that initially followed suit are back in court. Private education lenders and creditors have resumed filing new lawsuits and continuing existing cases to recover past-due debts, according to court records. Many companies had vowed to halt collections litigation as Americans faced layoffs and wage reductions in the beginning of the health crisis. But despite tens of thousands of people still losing their jobs, student loan companies are again seeking payment. Attorneys for some of the largest private education debt creditors have filed dozens of lawsuits in several states since at least the summer.