WASHINGTON, D.C. – The Biden Administration announced today that it will extend the federal student loan payment pause until August 31st, 2022.
In response, Jaylon Herbin, outreach and policy manager at the Center for Responsible Lending (CRL), made the following statement:
The latest extension of the federal student loan payment pause signals the need for a more permanent solution – specifically, widespread student loan cancellation – for the nation’s $1.7 trillion student debt crisis. While we applaud the Administration for allowing borrowers who were in delinquency or default to receive a ‘fresh start’ on their repayment plans and reenter repayment in good standing, their debts remain the same. Extending the payment pause once more is not enough to ensure financial fairness for the millions of Americans who were disproportionately affected by the burdens of the pandemic.
The Administration should provide student debt relief in the form of $50,000 in student loan cancellation per borrower, an amount that would eliminate or significantly reduce the debt burden for lower income, Black and Latino borrowers, provide a critical boost to the national economy and help bridge the racial wealth gap.
Press Contact: Vincenza Previte firstname.lastname@example.org