The pandemic has put a crunch on many people’s budget but help is on the way if you have a Federal Student Loan you’re trying to pay back.
Federal student loan repayments have been suspended since the CARES Act went into effect in March of 2020. Associate professor School of Education at U-W Madison Nick Hillman says that help will continue.
“The pause on certain federal student loans is going to continue for the rest of the fiscal year. So for borrowers who have what are called direct loans, that probably about 85% of the federal loans that are out there, automatically have those payments paused,” said Hillman.
In his first few days in office President Biden signed an executive order that continues the suspension of most federal students interest free through September 2021.
There is currently over $1.7 trillion dollars of student loan debt in America- affecting more people than credit card debt.
Hear more of the interview by clicking on the player above.