White House to extend the student loan moratorium once again

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Biden admin officials plan to extend the pause on federal student loan payments through the end of August, multiple sources say, though they warned that could still change. An announcement could come as early as this week.

The White House plans to once again extend the moratorium on federal student loan payments through the end of August, according to multiple people familiar with the matter, including an administration official.as the current pause on payments was set to expire May 1, potentially impacting more than 40 million Americans. The new August 31 extension, however, is considerably shorter than what many Democrats have been requesting.

A range of Democrats had urged the Biden administration to extend the pause on payments through at least the end of 2022, which would be long enough to avoid requiring borrowers to make payments just before the midterm elections. Just last week,led by Sen. Elizabeth Warren and Majority Leader Chuck Schumer sent a letter to Biden asking him to extend the pause “until at least the end of the year.”

“Tens of millions of people with student debt are once again in limbo as Washington plays politics with borrowers’ financial lives,” said Student Borrower Protection Center Executive Director Mike Pierce. “Joe Biden needs to keep his promises to fix the broken student loan system and cancel student debt. As voters head to the polls in November, they will not settle for anything less.”

Some Biden advisers have been reluctant to continue relief because they believe it undercuts the administration’s messaging on the strength of the economic recovery, though last month White House chief of staff Ron KlainDemocrats and advocates for student loan borrowers have said that more relief is needed as Americans face higher costs as a result of rising inflation gripping the economy.

 

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I just would like someone to explain in simple terms how the pausing of loans cost tax payers' money? What are the billions of dollars being spent on? I would honestly like understand.

Pathetic as usual.

Bad precedence. Do Not let your kids go deep in debt for college for a fancy bumper sticker & sweatshirt !!! The ones who graduate with the least debt are better off and much happier. Do your perquisites at community college then switch to a state college to minimize debt.

JoeBiden kick the can down the road all you want. Keep your campaign promise and dems win, but prepare for the worst if this is your strategy.

They won’t restart payments in august, they won’t restart them ever. The lending system is failed and they know it! CancelStudentDebt

it doesn’t get more democrat than kicking the can down the road

5 bucks he restarts it after the midterms lol

For what reason? The economy is booming, right?

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