Today, the U.S. Department of Education announced an extension of the pause on student loan repayment, interest, and collections through August 31, 2022.
The extension will provide additional time for borrowers to plan for the resumption of payments, reducing the risk of delinquency and defaults after restart.
During the extension, the Department of Education will continue to assess the financial impacts of the pandemic on student loan borrowers and to prepare to transition borrowers smoothly back into repayment.
This includes allowing all borrowers with paused loans to receive a “fresh start” on repayment by eliminating the impact of delinquency and default and allowing them to reenter repayment in good standing. The Department of Education will also continue to provide loan relief, including to borrowers who have been defrauded by their institutions and those eligible for relief through the Public Service Loan Forgiveness program.
More information about the payment pause and supports for borrowers can be found at StudentAid.gov.