State Penalties for Defaulting on Your Student Loans

State Penalties for Defaulting On Your Student Loans

The consequences of defaulting on a student loan are serious and long-lasting -- and may depend on where you live. Here is information for your state.
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Updated: 2020-10-11
 

Anyone who defaults on a student loan faces serious consequences, such as:

  • wage garnishment
  • loss of federal and state income tax returns
  • a ruined credit report, and
  • in extreme cases, a lawsuit. 

In addition, some states their own penalties on residents who default, such as suspension or loss of state professional licenses and seizure of lottery winnings.

For more information, select your state below.


Jurisdictional relevance: ST

There are versions of this article for each State.

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