WTVM.com and WTVM News Leader 9, Columbus, GA | New Rules For Delinquent Student Loans

New Rules For Delinquent Student Loans

The Supreme Court ruled today that the government can seize social security benefits to pay back old student loans.

According to the Bush Administration there are about 33 billion dollars in outstanding student loans in the US. Of that amount about 7 billion dollars of those loans are delinquent.

Now the Federal Government has gone that extra mile to collect what is owed. Because of that, the Federal Government can now take what is owed from a persons social security or disability check. For some students that's a risk they're not willing to take. "I know if I don't pay them back in the future there's going to be a problem. I'm not going to be able to get the things that I need, so right now it's a help but it's also a hindrance at the same time," says Columbus State University Sophomore, Shalandra Ware.

Issues CSU Financial Aid Director, Janis Bowles is all too familiar with.

Bowles says CSU students are well aware of the rules before and after they get a loan. "They go through internet loan counseling when they receive their first loan and then when they graduate there's an exit counseling that reminds them of their rights and their responsibilities," says Bowles.

But responsibility or not some students have mixed feelings about it.

CSU Senior, Chrysten Jeffrey says, "If they got away with not paying the loans back for so long I don't think it's fair for them to come back now and retroactive pay. They should have got them back when the loans were due."but CSU Junior, Keenan Carter disagrees. "You signed a contract saying that you're going to pay back that, you're going to pay back the loans and that's a federal document. So you can't break a contract. So I think they're coming back to get their money back."