The student loan repayment pause has been extended again by the federal government. The current ruling remains in effect until August 31, 2022.
As pandemic relief payments are being phased out, the pause is meant to give borrowers time to continue to recover from the economic consequences of the pandemic, now in its third year.
A statement from the press office of President Biden said that the extension will provide time for borrowers to get a plan in place for resuming payments and reduce the risk of default or delinquency once the billing resumes.
Borrowers can look forward to resuming payment in “good standing” with any previous delinquencies eliminated. The Public Service Loan Forgiveness program is expanding to automatically credit those working in public service. Those who work in public service need to apply for loan forgiveness by October 31st of this year.
More information about the payment pause and supports for borrowers can be found at StudentAid.gov.
Reporting for WGRT – Jennie McClelland
