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Student loan repayment pause extends under Biden administration - Global Times Media
Monday, April 4, 2022

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HomeWorldStudent loan repayment pause extends under Biden administration

Student loan repayment pause extends under Biden administration

Student loan repayment pause: On Friday, the U.S. Department of Education’s Federal Student Loan Payments will be on hold until the end of January.

Student loan repayment pause
ASSOCIATED PRESS
Student loan repayment pause extends under the Biden administration. Education Secretary Miguel Cardona spoke, today, during the daily briefing at the White House in Washington.

Debt payments, interest collections, and defaulted federal student loan collections have all been suspended since the outbreak – first thanks to the CARES Act, then by former President Donald Trump, former Secretary of Education Betsy Davos and President Biden for extensions.

Prior to the Friday announcement of the January 31 extension, payments will resume in October.

The Department of Education has called this latest extension final.

“The payoff is a lifetime, allowing millions of Americans to focus on their families, health and finances instead of student loans during a national emergency,” U.S. Education Secretary Miguel Cardona said in a news release. “As our country’s economy continues to recover from the deep hole, this last extension will give students and borrowers the time they need to plan for restart and ensure a smooth way to repay.”

A survey of Pew Charitable Trusts conducted this spring found that with the moratorium set to expire on September 30, two-thirds of respondents said they would find it very difficult to make payments after the freeze was lifted.

Members of the Democratic Legislature – Sen. Elizabeth Warren, spokeswoman Ayanna Pressley, and Senate Majority Leader Chuck Schumer – have previously called on the Biden administration to extend the moratorium until at least March.

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