Federal Claims Collection Act

The Federal Claims Collection Act is a law that authorizes the U.S. government to recover debts owed to it by individuals or organizations. When someone owes money to a federal agency—such as unpaid loans, taxes, or fees—this law allows the government to use various methods to collect the debt, including administrative offset (deducting from payments), negotiating repayment plans, or pursuing court action. The act helps ensure the government can efficiently recover funds owed, maintains fiscal accountability, and provides a fair process for debtors.