Biden administration extends student loan payment suspension
Vice President Kamala Harris also released a statement online, Tweeter that she and Biden “understand that student loan debt adds stress to borrowers and their families,” adding, “This break will help 41 million people meet their monthly bills and meet their basic needs. “
The refund freeze, which began at the start of the COVID-19 pandemic in March 2020, was due to expire next month. Since the freeze began, student borrowers have not been required to make payments on most federal student loans, their interest has stopped accumulating, and collections on defaulted debts have remained suspended.
Members of the Biden administration and consumer advocates have urged the president to move the date again, or to cancel “once and for all,” citing inflation and ongoing supply chain issues.
Democratic lawmakers sent a letter to the president no later than March 31, urging him to extend the recess until at least the end of the year.
“Over 43 million Americans are burdened with over $1.7 trillion in student debt. Of this collective debt, women bear two-thirds while earning 82 cents for every dollar a man earns” , said Rep. Ayanna Pressley (D-MA). tweeted Last week.
GOP members, meanwhile, are critical of the extension, calling it unwarranted despite Biden’s emphasis on the strength of the economy.
“President Biden’s perpetual moratorium on student loan payments is an insult to all Americans who have paid their debts responsibly. There is no free lunch: this reckless move puts taxpayers on the line for billions,” Sen. Tom Cotton (R-AR) tweeted on Tuesday.
A group of protesters from various coalitions and organizations gathered outside the US Department of Education in Washington DC on Monday to call on Biden to cancel student debt. Following the most recently implemented extension, many social media users are praising the break, observing its benefits, such as better credit ratings.