I read an article that discusses a woman refusing to pay her student loans.

In the end, she claims she saves money because she defaults on her loans, thus her loans grow without interest, and her wages are garnished instead.

Obviously, this trashes her credit, but she claims it doesn't become a big deal.

On paper, this looks great. If you still pay off the loans through wage garnishments and they don't incur interest, than the only negative is the credit trashing, which depending on your person, may or may not be a big deal.

Is there any other negative effects this may have?

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    And you expect me, a tax-paying tax-payer, to help anyone offload their liabilities onto me? Commented Jul 19, 2014 at 17:14

1 Answer 1


I don't think the article is accurate.

From https://studentaid.ed.gov/repay-loans/default#consequences

Your student loan debt will increase because of the late fees, additional interest, court costs, collection fees, attorney’s fees, and any other costs associated with the collection process.

Most stories of collection agencies having a debt start with "I owed $2000" and the collection agency says "It's now $4000" due to interest, late fees, collection fees, etc.

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