Biden Directs Department of Education to Extend Pause on Student Loan Payments

United States President Joe Biden has directed the Department of Education to extend the pause on federal student loan payments and collections and to keep the interest rate at 0% through Sept. 30.

United States President Joe Biden has directed the Department of Education to extend the pause on federal student loan payments and collections and to keep the interest rate at 0% through Sept. 30.

Biden requested the Acting Secretary of Education to extend the pause, which was set to expire on Jan. 31, in an effort to further relieve Americans of the economic burden brought by the COVID-19 pandemic.

“Too many Americans are struggling to pay for basic necessities and to provide for their families. They should not be forced to choose between paying their student loans and putting food on the table,” the White House said in a statement released on Jan. 20.

The move comes as one of the 17 executive actions Biden signed on his first day in the office, delivering his presidential campaign promise to prioritize easing the student loan burden, which has amounted to $1.6 trillion among over 40 million Americans.

Student loan payments and collections were put on hold with an interest rate set to 0% last March as part of the federal government’s COVID-19 response under the CARES Act.


© Fourth Estate® — All Rights Reserved.
This material may not be published, broadcast, rewritten or redistributed.