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The law requires the IRS to use private agencies to collect certain outstanding, inactive tax debts. Effective September 23, 2021, when the IRS assigns your account to a private collection agency, one of these three agencies will contact you on the government's behalf: CBE Group Inc. Coast Professional, Inc.
Federal law allows Coast Professional to garnish wages without a court order to collect defaulted federal student loans.
ED's Default Resolution Group, at the office of Federal Student Aid, oversees the collections process for all defaulted loans that are held by ED.
Coast Professional is a legitimate company that collects debts for the IRS, other government agencies, and educational institutions. We'll discuss what they do, what your rights are, and how to get them off your credit report.
Navient, a debt collector for both federal and private student loans, provides services ranging from processing monthly payments to helping borrowers enroll in repayment plans.
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As a bit of background, Navient is the nation's largest student loan servicer, servicing over 12 million borrowers. Pioneer Credit is a subsidiary of Navient, and Pioneer is responsible for the collection of defaulted student loans.
If you stop making payments on your student loans, they could fall into default and even get sold to a debt collector. Having student loans in collections can cause a heap of bad consequences, so it's crucial to learn how to get your student loans out of collections and back into good standing.
Before you receive a phone call, both the IRS and the private collection agency (PCA) will send you a letter. The IRS Notice CP40 and the PCA's initial letter contain a Taxpayer Authentication Number. The PCA uses this number to verify your identity and you can use the number to confirm the PCA's identity.
Coast Professional will call, email, or mail you if you have unsettled debt (or they think you do). Because they deal with federal student loan collections, this might mean you've defaulted on your student loan payments. All student loans can affect your credit score and be sent to collections if you fail to pay.
The IRS has entered into qualified collection contract with Coast Professional Inc. This is a Private Collection Agency (PCA) used for debt recovery.

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