DOGE Now Has Access to Student Loan Data: How to Stay Protected

If you’re one of over 40 million Americans who’s ever had a federal student loan or student aid, you may be at risk of identity theft or other security threats that could damage your finances.

Employees of the newly-formed Department of Government Efficiency (DOGE) accessed 13 databases with extremely sensitive data on nearly 43 million student loan borrowers and their families. The information includes Social Security numbers and bank records.

TechCrunch, an online newspaper focused on high-tech, calls the data breach “the largest ever compromise of U.S. government data.”

Neither President Donald Trump, who created DOGE, or Elon Musk, the billionaire businessman Trump put in charge of the department, have said what they will do with the information.

Trump has said he wants to eliminate the Department of Education (ED), which is the source for most student loans and repayment programs.

Tech experts are warning student borrowers to take steps to protect their identities and financial information and ensure they are still enrolled in the best repayment plan for their student loan.

“A tech billionaire accessing sensitive student loan information and personally identifiable information, income information, etc., is extremely concerning to me and I assume many others,” Andrew Weber, NACCC-Certified Student Loan Counselor and owner of MyCreditCounselor.net said. “Why would they need that information? DOGE is supposed to be formed for cutting budgets and reducing expenses.”

What Is DOGE?

The Department of Government Efficiency (DOGE) is a federal agency that Trump created with an executive order his first day in office. The purpose was to reorganize and rename the U.S. Digital Service.

So far DOGE’s main functions are unclear. The agency’s homepage  displays DOGE’s social media posts X (formerly Twitter), and the About page redirects to the January 20th executive order. In a November statement posted on X, Trump listed the following goals for the agency:

• Dismantle government bureaucracy
• Slash excess regulations
• Cut wasteful expenditures
• Restructure federal agencies

Why Does DOGE Have Access to Student Loan Data?

So far, it’s unclear why DOGE wants access to ED data or if employees even have the security clearances needed for access. Many are currently classified as “special government employees” which means they can work up to 130 days per year without having to follow federal disclosure requirements.

According to U.S. District Court Judge Deborah L. Boardman, who issued a temporary restraining order to block DOGE’s access, the agency has not explained why it needed “such comprehensive, sweeping access” to borrowers’ private information.

Anonymous sources told the Washington Post that DOGE fed the data to Azure (AI software) in order to identify opportunities for spending cuts.

What’s Happened So Far at the Department of Education?

A chaotic situation exists in the Department of Education, especially after Trump told reporters on Feb. 12 that he wants the department “closed immediately. Around 40 ED employees were laid off that day.

Another 100 employees were placed on administrative leave in January after Thomas Massie [R-KY] and David Rouzer [R-NC] filed bills to eliminate the ED. In late February, all applications for income-driven repayment program and Direct Consolidation Loans were removed from the ED website. Finally, ED employees received an email on Feb. 28 offering them a one-time, $25,000 buyout to retire or resign and avoid a mass layoff.

What Student Loan Information Does DOGE Have Access To?

It’s impossible to overstate how much sensitive information DOGE has access to. ED’s databases include all of the following details for tens of millions of borrowers and their family members:

• Social Security numbers
• Bank account numbers
• Driver’s license numbers
• Tax returns
• Dates of birth
• Marital status
• Immigration status
• Home addresses
• Employment and income details

Potential Risks of DOGE Accessing Student Loan Data

At this point, DOGE has not provided any public information about how it will protect the data it has.

If the agency did indeed feed the ED data to AI software, it’s at risk of being compromised in a cyberattack or being leaked. The engineers who were quickly onboarded at DOGE are reportedly bypassing security protocols and handling sensitive information improperly.

There are also claims that they’ve violated several safety laws, including the Privacy Act, which stops the federal government from sharing your sensitive personal and financial information.

These are some of the serious ways you could be impacted:

• Compromised identity: Identity theft, tax fraud and other economic crimes can result from leaks and other data breaches.
• Incorrect records: Staffing shortages at the ED can cause more administrative errors, like incorrect payment calculations.
• Immigration enforcement: Students or family members who’ve listed their undocumented status on an ED document could be targets for new immigration enforcement.

Five Ways Student Loan Borrowers Should Protect Their Finances and Personal Information

Here are some ways you can be proactive to protect your identity and your finances.

1.   Stay Current with Your Loan Payments

You may have heard influencers on TikTok suggest that these recent events are grounds for loan forgiveness. But the truth is that even if the ED closes down, federal student loan payments will still be due.

“These rumors came from uninformed TikTok influencers looking to monetize views and clicks and were fueled by frustrated and confused borrowers desperate for answers and relief,” explains Weber.

In other words, you aren’t off the hook for loan payments. If you fall behind, you could face serious consequences ranging from damage to your credit scores to wage garnishment.

One exception, however, is for borrowers on SAVE payment plans. For now, your loan is in “general forbearance,” meaning no payment is due until your new payment amount is calculated in September 2025 or later.

In the meantime, note that any payments you make while in forbearance will not count toward PSLF unless you buy them back later.

2. Freeze Your Credit

If your Social Security number or bank information ends up in the wrong hands, it could lead to crimes like identity theft or credit card fraud. To prevent criminals from opening up loans or credit cards in your name, place a freeze on your credit reports.

Credit report freezes are free to set up and it’s a fairly simple process. Visit these credit bureau websites to get started:

• Experian
• Equifax
• TransUnion

3. Inform Family Members

If you’ve ever provided a family member’s information to the ED or a federal student loan servicer, let that family member know they need to protect themselves too.

Here are some examples of the information your loved one could have shared in the past:

• FAFSA forms: You may have had to include your spouse’s and/or parents’ Social Security numbers, tax information and government benefit details on your FAFSA application.
• Direct PLUS loan applications: Parents who apply for these loans have to provide their address, employer information, citizenship status and more.

At minimum, encourage the people who shared their information to freeze their credit right away.

4. Update Your Records

With all of the recent changes, it’s more important than ever to make sure that the Department of Education and your loan servicer have the correct information in your files. Here’s what you should check for accuracy:

• Contact information: Make sure your name and contact details are correct so you don’t miss any communications or payment updates.
• Payment information: Check to see that your current payment plan is listed correctly, and that your servicer has accurately recorded your recent payment amounts and upcoming amounts due.

Weber also recommends downloading everything for your own record-keeping and security. If you find incorrect information, work with the ED or your servicer to update your files. If they don’t help, or you have other concerns about your security, he suggests submitting a complaint to your attorney general, congress member or the Federal Trade Commission (FTC).

5. Look into a New Payment Plan

There’s a possibility your current payment plan will go away soon. Public Student Loan Forgiveness (PSLF) and certain income-based repayment haven’t been eliminated since Congress created them.

However, borrowers on SAVE plans and anyone who was preparing to apply for an IDR will be impacted. Additionally, loan forgiveness after 20 to 25 years is no longer available on PAYE and ICR. Here are a few things you can do to manage these changes:

• Use the Student Loan Simulator to get a sense of your future payment plan options.
• To apply for a new payment plan, download this IDR Plan Request form or go to your servicer’s website to find their form. Processing is currently severely delayed but filing ASAP can still help you get a faster response.

For undocumented students, it’s important to apply for loans and student aid with caution. Some student advocate groups are now recommending that you do not fill out FAFSA forms or other aid applications since DOGE could potentially become aware of your immigration status.