"Billion-Dollar Shift: US Treasury Takes Over Student Loan Operations from Education Department In a significant move, the US Treasury Department is set to assume control of the nation's massive student loan portfolio, valued at nearly $1.7 trillion. Under a new interagency agreement, the transfer of operations from the Department of Education marks a major change in the management of federal student loans. The shift is expected to have far-reaching implications for borrowers, with potential impacts on interest rates, repayment terms, and debt forgiveness programs. As the Treasury takes the reins, concerns are being raised about the potential for increased costs and reduced support for students struggling with debt."
Student loan operations from a nearly $1.7 trillion portfolio are being transferred from the Department of Education to the Treasury under a new interagency agreement.