President Joe Biden announced a 90-day extension to pause student loan repayment, interest, and collections giving Americans through May 1.
“While our jobs recovery is one of the strongest ever — with nearly 6 million jobs added this year, the fewest Americans filing for unemployment in more than 50 years, and overall unemployment at 4.2 percent — we know that millions of student loan borrowers are still coping with the impacts of the pandemic and need some more time before resuming payments,” President Biden wrote. “This is an issue Vice President [Kamala] Harris has been closely focused on, and one we both care deeply about.”
Today, my Administration is extending the pause on federal student loan repayments for an additional 90 days — through May 1, 2022 — as we manage the ongoing pandemic and further strengthen our economic recovery.
— President Biden (@POTUS) December 22, 2021
Initially, payments were geared to restart on Feb. 1 but paused due to the ongoing COVID-19 crisis in the country. The extension will allow the administration to assess the impacts of the Omicron variant on student borrowers and provide additional time for student borrowers to plan for the restart of payments.
“Given these considerations, today my Administration is extending the pause on federal student loan repayments for an additional 90 days — through May 1, 2022 — as we manage the ongoing pandemic and further strengthen our economic recovery,” Biden continued. “Meanwhile, the Department of Education will continue working with borrowers to ensure they have the support they need to transition smoothly back into repayment and advance economic stability for their own households and for our nation.”
I applaud President Biden for once again pausing federal student loan payments for 45 million Americans. Now let’s cancel it. All of it.
— Bernie Sanders (@SenSanders) December 22, 2021
Within the last two weeks, there has been a sudden spread of the Omicron variant with a 27% spike in cases, a 13% rise in hospitalizations, and a 4% increase in deaths.
“Obviously, we’re still battling a pandemic,” White House Press Secretary Jen Psaki said. “We know that borrowers across the country, even as the economy has made progress, are still grappling with [student loans], and this will give them a little more relief.”