May 05, 2021

Forbes: Warren: Extend Student Loan Freeze Or Make It ‘Permanent’

Senator Elizabeth Warren (D-MA) suggested on Tuesday that the Biden administration should extend the current pause on federal student loan payments and interest, or implement a permanent freeze.

Warren’s comments, made on Twitter, were made in response to a statement earlier this week by Education Secretary Miguel Cardona that the administration isn’t ruling out extending the student loan moratorium beyond the current September expiration. The CARES Act, which Congress enacted last year, temporarily stopped all payments, froze all interest, and suspended all collections on government-held federal student loans. After several extensions by President Trump and then by President Biden, the relief is scheduled to end on September 30, 2021. That means millions of student loan borrowers will need to resume payments in October. Cardona said the administration is “looking at” the possibility of a further extension, which is “not out of the question.”

“The student loan payment freeze has helped families get by each month and helped keep our economy afloat,” said Senator Warren in a Tweet. The U.S. Department of Education “could extend the freeze again, or better yet, make this relief permanent: #CancelStudentDebt.”


Read full article here. 

By:  Adam S. Minsky
Source: Forbes