NEW YORK (AP) — Millions of student loan borrowers could soon begin having their wages garnished, according to estimates from credit bureau TransUnion.

The company predicts that by this month, roughly 3 million borrowers could move into default, meaning they're 270 days past due on payments. At that point, loan holders are at risk of having 15 percent of their pay docked by the government, with the money going toward the outstanding debt. There has been no clear indication of when wage garnishment will start.

After the pandemic-era pause on student loan payments ended in May, borrowers have had to reassess the state of their loans and budgets. According to TransUnion, another 2 million borrowers are on course to default in September.

A Biden-administration grace period, during which late or missed payments were not counted against credit scores, ended in the fall.

Since then, millions of borrowers have seen hits to their credit ratings.

Here's what to know:

What you can do to prepare

“The most important thing borrowers can do before administrative wage garnishment restarts is to log into

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