A group of more than 60 Democratic lawmakers is pressing Education Secretary Linda McMahon to expand student-debt relief and pause tougher collection actions as millions of borrowers remain in default or delinquency. Led by Sen. Elizabeth Warren, Sen. Jeff Merkley, Reps. Ayanna Pressley, and André Carson, the lawmakers urged the Trump administration to cancel debt for borrowers already eligible for relief under existing federal programs, including Public Service Loan Forgiveness, Total and Permanent Disability discharge, and borrower defense to repayment. They also called for the Department of Education to clear a large backlog of income-driven repayment applications.
The appeal comes as student-loan distress has reached historic levels. According to the lawmakers, 7.7 million borrowers were in default at the end of 2025, while another 3 million were delinquent. They warned that recent Trump administration changes to federal student-loan policy could worsen the problem by pushing more borrowers into default. Those changes include new repayment plans, the elimination of the SAVE plan, and a planned transfer of defaulted accounts to the Treasury Department.
In their letter, the lawmakers argued that the administration has not done enough to address the default crisis, saying it has increased costs for Americans and harmed borrowers’ access to credit. They also said that debt cancellation borrowers are legally entitled to has been delayed or denied, despite existing federal relief programs. The lawmakers asked the department to keep the current pause on involuntary collections in place, including wage garnishment and the seizure of federal benefits, while the repayment changes are implemented.
The Education Department paused involuntary collections for defaulted borrowers in January as it prepared for the upcoming overhaul. Democratic lawmakers are now asking the department to extend that pause and to stop the transfer of defaulted student-loan accounts to the Treasury so that relief options can continue for affected borrowers.
The request comes just weeks before the administration’s student-loan repayment changes are scheduled to take effect on July 1. Many borrowers are bracing for higher monthly payments, with some expected to see increases of hundreds of dollars per month after the SAVE plan is eliminated. The SAVE plan had offered lower payments and a faster path to debt relief for many borrowers.
Nicholas Kent, the Education Department’s undersecretary, said in a statement that the changes are intended to keep federal student loans accessible while preventing borrowers from taking on debt levels they cannot repay. The lawmakers also asked McMahon for information about when involuntary collections are expected to resume and for an update on the backlog of debt-relief applications.
The conflict highlights growing tension over the future of federal student-loan policy, as the Trump administration moves ahead with major changes and Democrats warn that millions of borrowers could face greater financial strain.
