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Democratic Rep. Ilhan Omar of Minnesota is under renewed pressure over her personal finances after a watchdog organization accused her of falling into default on federal student loans at the same time she has been championing debt cancellation in Congress.
The American Accountability Foundation (AAF) sent a letter to House Speaker Mike Johnson on Friday, alleging that Omar — who collects an annual congressional salary of $174,000 — is currently in collection proceedings over federally backed student loans.
“We are writing to raise grave concerns about the misuse of public office and abuse of federal loan programs by a sitting Member of Congress, Representative Ilhan Omar,” AAF President Thomas Jones wrote.
The group says Omar’s financial disclosure reports indicate she owes between $15,001 and $50,000 in outstanding student loan debt supported by federal guarantees.
“As you know, these loans are backed by the United States government, and if Representative Omar remains in default, the financial burden is effectively transferred to the American taxpayer,” Jones argued. “It is outrageous and humiliating that someone earning $174,000 as a Member of Congress cannot keep up with their student loan payments.”
AAF also contends that Omar has allegedly tried to leverage her political position to blunt enforcement actions against her own debt.
“To make matters worse, there are credible allegations that she is using her status as a Member of Congress to pressure the Department of Education not to pursue the overdue payments,” Jones claimed.
He added that his organization has filed a Freedom of Information Act (FOIA) request seeking any communications between Omar and the Department of Education concerning her loans.
In the letter, AAF urges Speaker Johnson to take a dramatic step to protect taxpayers.
“We respectfully request that you direct the Chief Administrative Officer of the House of Representatives to garnish Representative Omar’s congressional salary and remit those funds directly to Nelnet, the servicer of her federal student loan, until her account is brought current,” the letter states.
Omar’s office did not immediately respond to inquiries seeking comment on the accusations.
AAF routinely targets Democratic officials with ethics complaints and financial probes, arguing that lawmakers should meet a higher bar when managing both public money and their own finances.
Critics say the latest claims expose a possible conflict of interest for Omar, who has been one of the loudest voices in favor of sweeping student debt cancellation and has framed the issue as central to economic justice.
The watchdog group argues that her personal situation undercuts that message.
“If you’re in default on loans backed by taxpayers and, at the same time, pushing policies that could personally benefit you, that raises serious ethical concerns,” Jones said.
Omar’s financial records have drawn scrutiny before. In 2023, financial analytics firm Quiver Quantitative pointed to stark changes in her disclosures over time.
“When she filed for the first time in 2019, she reported no assets,” the firm noted. “Her more recent filing shows up to $288,000 in assets. At the same time, she now carries as much as $100,000 in credit card debt and up to $50,000 in remaining student loans.”
These latest allegations add to a series of controversies surrounding the congresswoman, who has previously faced ethics complaints and questions about her campaign spending.
It is unclear whether House leadership will act on AAF’s request, but the group says it intends to keep pushing for greater transparency — and for the loans to be repaid.
