The Education Dept. says this will be the final of four extensions ….
Of course if Biden wants to do another one?
He’ll do it…..
There is NO mention of cancelling student loan debt and the administration of a program that is supposed to benefit civil servants , but has mostly not…..
Some Democrats want forgiveness of up to $50,000 for those need it….
Biden has been reluctant to do so…
We now have Democratic House Speaker saying that Biden does NOT have right to actually cancel the debt….
On top of all of this?
Several of the companies that where making money off servicing the loans for the government are walking away from the servicing them….
The program is a giant $1.6 Trillion barrel of debt dragging on the American economy….
Delaying payment does absolutely NOTHING for those who owe it and those who never be able to completely pay it back….
Those efforts paid off….
All borrowers with student loans from the Education Department will see their payments automatically suspended until Jan. 31 without penalty or accrual of interest. Each month until then will still count toward loan forgiveness for borrowers in public-service jobs. It will also count toward student loan rehabilitation, a federal program that erases a default from a person’s credit report after nine consecutive payments….
Collections on defaulted, federally held loans will still be halted, and any borrower with defaulted federal loans whose wages are being garnished will receive a refund. However, the directive still excludes millions of borrowers whose federal loans are held by private companies or universities.
All told, 41 million Americans will benefit from the continued moratorium, according to the department.
News of the final extension was met with mixed reactions from lawmakers. Congressional Republicans blasted the administration for giving borrowers more time they don’t need.
“Students and families faced immense challenges last year, but the American economy continues to recover and there is no rational excuse for continued extensions of non-payment on student loans,” said Sen. Richard Burr (R-N.C.), the top Republican on the Senate Health, Education, Labor and Pensions Committee. “As vaccination rates continue to increase, Americans are returning to work and returning to their normal daily lives. Student loan repayments should resume as well.”….