Biden Administration Extends Pause on Student Loan Payments Until May 1

Biden Administration Extends Pause on Student Loan Payments Until May 1

In current months, pleas to take sweeping motion on student loans have gone unanswered by Mr. Biden, who has mentioned he has been reluctant to discover govt motion to forgive massive quantities of student loan debt, lest that aid go to folks attending elite faculties. But final week, Vice President Kamala Harris spoke publicly about the necessity to present aid to debtors.

“I had student loans,” Ms. Harris mentioned throughout an interview with the radio and tv host Charlamagne tha God. “I mean, look, right now, we have so many people, tens of millions of people in the United States who are dealing with student loan debt and responsibilities, and it’s standing in the way of them being able to start a family or buy a home. And it’s real, and we need to deal with it.”

On Wednesday, the White House sought to provide Ms. Harris credit for her position in persuading the president to approve the extension. Jen Psaki, the White House press secretary, mentioned conversations with advisers, together with Ms. Harris, had led to Mr. Biden’s determination to increase the moratorium. Ms. Psaki mentioned the president’s endangered social spending plan was not the principle purpose for the student loan extension.

“This is something the president has thought a lot about over the past several days,” Ms. Psaki mentioned, including that conversations with Ms. Harris “led to the decision to extend until May.”

The Biden administration has already canceled some debt by means of extra focused measures — it wiped away almost $13 billion in loans for almost 640,000 debtors, based on the Education Department, together with greater than $7 billion for folks with a “total and permanent disability.”

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Activists praised the administration’s determination.

“The Biden administration has thrown a lifeline to student loan borrowers in the face of economic and public health reality,” mentioned Mike Pierce, the chief director of the Student Borrower Protection Center. “This was a vital motion for debtors to have the ability to keep afloat.

People who’re struggling to repay student loan debt mentioned the extension was useful, if solely short-term.