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Jun 5, 2025  |  
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Amy Curtis


NextImg:Economic Reality BITES: Credit Scores Drop After Trump Administration Resumes Student Loan Payments

The Trump administration resumed collection on defaulted student loan payments, and borrowers who aren't paying up are seeing their credit scores hit hard.

For the Left, this is a problem. For the rest of us, it's just economic reality.

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Here's what WaPo wrote:

Millions of Americans are suddenly facing dramatically lower credit scores from delinquent student loans, making it tougher for them to secure housing, insurance, car loans, even employment at a vulnerable time for the U.S. economy.

Credit scores dipped by more than 100 points for 2.2 million delinquent student loan borrowers, and 150 points or more for more than 1 million in the first three months of 2025, according to an analysis by the Federal Reserve Bank of New York. It’s the kind of credit score drop that follows a personal bankruptcy filing. Roughly 2.4 million of those Americans previously had favorable credit scores and would have qualified for car loans, mortgages or credit cards before these delinquencies were reported, researchers said.

There's very little sympathy for these borrowers on X.

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Pay your debts.

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They'll get around to that eventually.

Give them time.

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It's that simple.

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Bingo.

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That's how the real world works.

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This is where this writer would like to remind you that one of the Senators who made it illegal to discharge student loan debt in bankruptcy was ... Joe Biden.

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Make it make sense.

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Bingo.

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A novel concept.

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Truth.

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Everyone except the Left.

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The common theme here is: mistakes.

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Yep. That sums it up.

Editor's Note: President Trump is leading America into the "Golden Age" as Democrats try desperately to stop it.  

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