White House to Extend Student-Loan Payment Pause to June 30

[BumRushDaShow]

Last edited Tue Nov 22, 2022, 06:01 PM - Edit history (1)

Source: Bloomberg

President Joe Biden announced that his administration would extend the pandemic-era pause in student loan repayments through June 30 amid legal challenges to his college debt-forgiveness plan. Payments now set to resume Jan. 1 won’t be required again until 60 days after court challenges to Biden’s loan forgiveness plan are settled.

If the litigation is not resolved by June 30, payments will resume 60 days after that, the Education Department said in a statement. A federal appeals court last week blocked the administration from carrying out Biden’s plan to cancel as much as $20,000 in debt for some borrowers.

“I’m confident that our student debt relief plan is legal,” Biden said in a tweet. “But it’s on hold because Republican officials want to block it.” The decision followed a ruling earlier this month from a federal judge in Texas finding the plan unlawful. The Department of Education has stopped accepting applications for loan forgiveness, thrusting millions of Americans into financial limbo.

The fresh pause in loan payments would alleviate uncertainty for borrowers as the administration asks the Supreme Court to review lower-court orders preventing implementation of Biden’s debt-cancellation plan, the Education Department said. “We’re extending the payment pause because it would be deeply unfair to ask borrowers to pay a debt that they wouldn’t have to pay, were it not for the baseless lawsuits brought by Republican officials and special interests,” Education Secretary Miguel Cardona said in a statement.

Read more: https://www.bloomberg.com/news/articles/2022-11-22/white-house-to-extend-student-loan-payment-pause-up-to-june-30?srnd=premium

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Article now updated.

Previous article -

President Joe Biden announced that his administration would extend the pandemic-era pause in student loan repayments through June 30 amid legal challenges to his debt-forgiveness plan. Payments now set to resume Jan. 1 won't be required again until June 30 or until 60 days after court challenges to Biden's loan forgiveness plan are settled, according to people familiar with the matter.

A federal appeals court last week blocked the administration from carrying out Biden's plan to cancel as much as $20,000 in debt for some borrowers. "I'm confident that our student debt relief plan is legal," Biden said in a tweet. "But it's on hold because Republican officials want to block it."

The decision followed a ruling earlier this month from a federal judge in Texas finding the plan unlawful. The Department of Education has stopped accepting applications for loan forgiveness, thrusting millions of Americans into financial limbo.

Within the last week, White House senior staff coalesced around the idea of extending the student loan repayment pause as the challenges to the administration's decision worked their way through the court system.

No paywall

Just breaking. Short article.

Original article -

The White House plans to extend until as late as June a pandemic-era pause in student loan repayments, according to people familiar with the matter.

Payments now set to resume Jan. 1 won't be required again until June 30 or until after legal challenges to President Joe Biden's student-debt forgiveness plan are settled, the people said.

(no paywall)

[aocommunalpunch]

1. Seems like a sound move.

They let me know I qualify and everything is a go once the fuckheads stop gumming up the works.

[LetMyPeopleVote]

2. Biden to extend student loan repayment freeze as relief program is tied up in courts

Link to tweet

https://www.cnn.com/2022/11/22/politics/student-loan-repayment-freeze-extended/index.html?utm_term=link&utm_content=2022-11-22T20%3A22%3A17&utm_medium=social&utm_source=twCNN

The Biden administration is yet again extending the pause on federal student loan payments, a benefit that began in March 2020 to help people who were struggling financially due to the Covid-19 pandemic, a source familiar with the plan said.

The Department of Education will announce it is extending the freeze another six months with the first payments due two months after June 30, the source said, unless a Supreme Court decision on the president’s student loan relief program comes first.

The administration had previously said the most recent extension would be the last, and payments were scheduled to restart in January.

But the administration had also intended for its student loan forgiveness program to begin canceling up to $20,000 in debt for low- and middle-income borrowers before January. The program has yet to be implemented as it faces several legal challenges

[LetMyPeopleVote]

3. President Biden on the extension on forbearance on student loan payments

Link to tweet

[eissa]

4. Good

The longer these people get to put off paying back predatory loans, the better.

[jimfields33]

7. They should try to pay them off as quick as possible since there's no interest right now

If they feel they wanna go down to 10,000 balance that might be OK. Still risky.

[republianmushroom]

5. LIKE

[underpants]

6. 👍

[Backseat Driver]

8. DH signed; I signed that I knew he did. Seems in our case, the kill will be the cure!

Both girls got degrees BTW - Can't take away what's in their useful brains. TPTB would have collected a lot more than the price of Amazon Prime per month if they had just kept DH and so many others, working and training throughout those mergers, acquisitions, re-orgs, downsizings, rightsizings, outsourcing, recessions, cancelled and unrenewed contracts, bank bailouts, Trump tax cuts, on and on and on. Add on controlling the issue of escalating housing (Remember Countrywide?) and health care costs, and we might have kept ours. It wasn't like he had to stand on his feet all day back then, like now, to make ends meet. Oh, add the societal gun menace, free speech, free will, and a legal system that allows the perps an easy immunity deals and wrist slap fines they earn back in 8 hours? How many generations do the GOP want to kill in my lifetime when they practice disrespect and utter lies? Not just the boomers, obviously, climate change be denied and damned...I got one pretty smart grandchild - hey, no pressure kid!

[betsuni]

9. K&R