The Government Accountability Office plans to investigate the Trump administration’s transfer of federal student loan default collections from the Education Department to Treasury.
Treasury will soon have the power to collect on the debt of more than 9 million student loan borrowers in default following an interagency agreement between the two departments. It’s the first step in the administration’s plan to move management of the entire $1.7 trillion federal student loan portfolio to Treasury, in line with their efforts to eventually shutter the Education Department.
The watchdog’s probe comes in response to a request by Sen. Elizabeth Warren (D-Mass.) and ...