Biden to Direct ED to Extend Student Loan Relief Through September

By Hugh T. Ferguson, NASFAA Staff Reporter

Upon being sworn in as the 46th President of the United States, President-elect Joe Biden on Wednesday will call on the Department of Education (ED) to extend the federal student loan administrative forbearance period, the pause in interest accrual, and the suspension of collections activity — currently set to expire in less than two weeks — through at least Sept. 30, 2021.

“Borrowers of all ages are often faced with a tough tradeoff between making their student loan payments, investing in their long-term financial future, or paying their bills,” said a document released this morning. “The pandemic has only increased the economic hardship of the millions of Americans who have student debt.”

NASFAA in November joined others in the higher education community in a letter urging former Education Secretary Betsy DeVos to extend the relief until Dec. 31, 2021, or until the federal government formally declares an end to the pandemic, whichever occurs first. ED subsequently extended the relief through Jan. 31, 2021.

The extension will continue the moratorium that received a number of extensions during President Donald Trump’s administration.

Stay tuned to Today’s News for more details on student loan debt relief. 

 

Publication Date: 1/20/2021


Sheila M | 2/21/2021 7:9:03 PM

Is there any consideration in the bill for relief for borrowers whose loans are not currently held by the dept of education, FEELP loans that at not direct loans, but are still in repayment?

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