Student loans are on the verge of an historic default, according to a new report from the U.S. Department of Education.
The report finds that about one in five student borrowers have a student loan payment that is currently underpayment.
The department also found that more than one-third of borrowers had no loan payments at all in the last 12 months.
The Department of Justice has taken on a leading role in pursuing delinquent student loan borrowers through the borrower repossession process, which is a new and complex process that has been fraught with problems.
A new report, which found that at least one-quarter of borrowers have defaulted on their federal student loans, finds that at a time when student loans are increasingly unaffordable, it is critical to understand how the government and student loan servicers are managing the risks.
The report, by the Government Accountability Office, also found the federal government had over $2 trillion in student loan balances.
It found that in 2013, about 8 million Americans had student loan debt.
It also found: 1 in 5 students owe more than $25,000 in student loans.
Nearly one in three students had loan payments that were less than $300 a month, and nearly one in 10 students had outstanding balances of more than a million dollars.
The federal government has long been struggling with the problem of student debt, which it says is a “debt that should be paid,” not an “overhang.”
However, the Department of Veterans Affairs has been under increasing scrutiny for its handling of the issue.
In February, the VA paid $1.8 million to settle a lawsuit alleging it mishandled the issue of veterans who were delinquent on their loans.
A similar suit filed by former servicers is still ongoing.