Student Loan Payments Are About to Resume

Student Loan Payments , Are About to Resume .

CNN reports that federal student loan borrowers will be required to make monthly payments for the first time in over three years beginning in October.

Payments were put on hold in March of 2020 to provide relief to almost 44 million people amid the pandemic.

.

This fall, the pause is set to expire after a number of extensions by both the Trump and Biden administrations.

CNN reports that interest will start to accrue again on September 1, returning to the same rate as before the pandemic freeze.

Betsy Mayotte, president of The Institute of Student Loan Advisors, notes that borrowers should recertify their income if they have experienced a decrease in pay or increase in family size.

.

CNN reports that millions of borrowers will now have a different loan servicer than they did in 2020.

Borrowers can find out who is servicing their loads by logging on to the Federal Student Aid website.

.

Automatic payments that were set up prior to the pandemic pause will probably need to be set up again by visiting loan servicer websites.

.

CNN reports that borrowers can apply for several different kinds of income-driven plans that have the potential to lower the size of payments due every month.

The Biden administration continues to search for alternative ways to provide debt relief for student borrowers.