Assuming these are guaranteed student loans, and not subject to the statute of limitations, the creditors can continue to stack late fees and costs, as well as collection fees, as they either wait or try to collect the money you owe. If they get a judgment against you, they can attempt to garnish joint assets (such as bank accounts) and could conceivably try to pursue real estate or personal property depending upon the laws of your state, the amounts you owe, and how aggressive they choose to be.

