NNI - White House extends pause on student loan payments until Aug. 31

As expected, President Biden has extended the pause on student loan payments until Aug. 31, the White House announced Wednesday. The moratorium on payments was set to expire on May 1.  "If loan payments were to resume on schedule in May, analysis of recent data from the Federal Reserve suggests that millions of student loan borrowers would face significant economic hardship, and delinquencies and defaults could threaten Americans’ financial stability," President Biden said in a statement. The additional time will help borrowers improve their financial situation and will support the Department of Education's efforts to improve student loan programs, he said.  "I’m asking all student loan borrowers to work with the Department of Education to prepare for a return to repayment, look into Public Service Loan Forgiveness, and explore other options to lower their payments," he said.  There have been reports that the administration is seeking to expand its program

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White House extends pause on student loan payments until Aug. 31