"The U.S. Department of Education will transfer responsibility for collecting defaulted federal student loan debt to the U.S. Department of the Treasury, according to a March 19 Department of Education news release," The Daily Texan reports.

... "However, groups such as the Legal Defense Fund, a legal organization that fights for racial justice, and the National Association of Student Financial Aid Administrators, a nonprofit that advocates for student success, raised concerns about the move."

"'Making a transition of this magnitude would require significant time and careful planning to avoid potential disruption to borrowers — an undertaking that could be challenging given the steep staff reductions that have taken place across the federal government,' Melanie Storey, President of the National Association of Student Financial Aid Administrators, wrote in a news release."

NASFAA's "Notable Headlines" section highlights media coverage of financial aid to help members stay up to date with the latest news. Articles included under the notable headlines section are not written by NASFAA, but rather by external sources. Inclusion in Today's News does not imply endorsement of the material or guarantee the accuracy of information presented.

Publication Date: 3/30/2026