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Joe Biden Administration Extends Student Loan Pause To May 1

December 22, 2021

Photo: ROBYN BECK / / AFP / Getty Images

For: Luis Diaz Updated 22 Dec 2021, 15: 50 pm EST

The g government of President Joe Biden reported that the moratorium on federal student loan payments will be extended until May 1 , as the Omicron variant of the coronavirus represents a threat to the economy.

“Millions of student borrowers are still grappling with the impacts of the pandemic and need more time before repaying,” said President Joe Biden, in the middle of a statement.

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

A few months ago, the White House asked President Biden not to extend the pause to hold payments beyond the due date of 31 January, as loan recipients were said to resume payments in February.

Debt relief advocates and some Democratic lawmakers had lobbied the Biden administration to extend the moratorium so that no affect the household economies of Americans who have struggled financially since the pandemic hit.

Before the news that the pause of student payments will be extended , the Student Debt Crisis Center organization welcomed the presidential decision and made it clear that this achievement was due, in part, to the pressure they have exerted, after sending thousands of letters to the White House.

This is what happens when everyday people keep up the pressure !!! 🔥🔥🔥 Over 50, 000 people sent letters to the @WhiteHouse or signed petitions, many ally organizations, and lawmakers in Congress worked together to push @POTUS and IT WORKED! https://t.co/LlnWLkB5KI

— Student Debt Crisis Center (SDCC) (@DebtCrisisOrg) December 15, 2021

“The Omicron variant is a terrifying reminder that the pandemic remains a serious concern and Americans cannot be crushed by student debt while saddled with this health and economic crisis,” said Natalia Abrams, President of the Student Debt Crisis Center.

A recent survey of nearly 34, 000 Borrowers by the Student Debt Crisis Center found that even among borrowers who are in full-time employment, the 89% said they are not financially secure enough to start making payments after February 1, and the 21% say what you will never have the income to resume payments.

The defenders and activists of this cause, as well as some l Democratic legislators have pressured Biden to use executive action to eliminate up to $ 50, 04 federal student loan debt dollars for all borrowers.

Meanwhile, Joe Biden has said that he does not believe he has the authority to cancel student debt unilaterally, but would support Congress to pass a bill to cancel a debt of $ 10, 000 dollars for each borrower.

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