New Delhi, June 3 -- Almost half a million Americans could see reduced Social Security payments this month due to overdue federal student loan repayments, raising concerns about the financial security of older adults relying on these benefits.

According to a report by Newsweek, 450,000 Americans aged 62 and older are currently in default on their student loans. Many of these individuals depend on Social Security for their income.

After a pause on collections during the coronavirus pandemic, the Trump administration restarted aggressive debt collection efforts on May 5, including automatic deductions from Social Security benefits under the Treasury Offset Program.

The program allows the federal government to withhold up to 15 percent of...