Biden extends student loan repayment pause amid a massive surge of omicrons

Biden extends student loan repayment pause amid a massive surge of omicrons ...

President Joe Biden said on Wednesday that he'll extend the pause on student loan repayments for an additional 90 days. The forbearance will extend through May 1, 2022.

Even though the statement points to the strong labor participation in the United States - in the case of the smallest unemployment filing in more than 50 years - it acknowledges "millions of student loan borrowers still coping with the impacts of the pandemic." A surge in the US is about 73% of new COVID cases.

Millions of student loan borrowers need some more time before returning the payments according to Biden's statement.

The federal student loan repayment has been paused for almost two years now. Since the pause was first introduced, interest has not accumulated and collection on defaulted debt has been canceled.

Donald Trump enacted the pause in the summer of March 2020 and extended it until January 2021. Biden had since joined two more doors with the inauguration ceremony, and the governor warns the extension by January would be the last.

Despite the omicron being widespread in the U.S., the administration decided to extend the student loan repayment moratorium.

That president also called on student loan borrowers to "do their part," according to the statement. "Take advantage of the Department of Education's resources to help prepare for retirement; look at options for getting into lower money through income-based repayment plans; and find public service loan forgiveness; and make sure you are vaccinated and boosted as soon as you can."

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