|Image Credit: Drew Engerer / Getty Images|
He said borrowers should use this extra time to prepare for resumption of payments.
But some lawmakers and lawyers say the extra time should be used to pay off student debt.
Last month, President Joe Biden gave an additional three-month Christmas gift to 43 million federal student loan borrowers.
While the president has said borrowers should use the extra time to prepare for the resumption of payments on May 1, some lawmakers and advocates have said it should be used to pay off student debt.
On December 22, the Department of Education announced that it would move the target date for resumption of student loan repayments from February 1 to May 1, citing the Omicron coronavirus variant as the main reason for the change. Contrary to the August announcement, without specifying whether this would be the “final” extension, Biden in a statement urged federal debtors to use the extra time to prepare for payment within 90 days.
“As we take this step, I urge all student loan borrowers to do their part: make full use of the Department of Education’s resources to help you prepare for the resumption of payments; Investigate options for reducing payments through income repayment plans; Explore public service loan waivers; And make sure you are vaccinated and encouraged when you are eligible, “Biden said in December.
Education Secretary Miguel Cardona said in a statement that the ministry “will continue to provide borrowers with the tools and support they need to participate in repayment schemes that are sensitive to their needs. Adds that the bid was written off for targeted groups of borrowers, such as for-profit schools, since taking office.
Leading legislators have applauded Biden’s extended suspension of payments over the cancellation of massive student debt. Senate Majority Leader Chuck Schumer, Massachusetts Senator Elizabeth Warren and Massachusetts Representative Ayanna Presley said in a statement that they allow breakers to “complete the final” and pay for basic necessities, but they still want Biden to waive their loan waiver. Dhare.
“We continue to take executive action to write off બિ 50,000 in student debt to President Biden, which will help close the ethnic wealth gap for borrowers and accelerate the recovery of our economy,” the legislators said.
Yesterday, President Biden announced that he was extending the student loan repayment break for 90 days.
Today will be a great day to follow up on the announcement that he is leaving #CancelStudent Debt,
– Chuck Schumer (@SenShumer) December 23, 2021
Proponents of her case have been working to make the actual transcript of this statement available online. Natalia Abrams, president of the Student Debt Crisis Center, said in a statement that the Omicron variant was “a chilling reminder that the epidemic is still a serious concern and that students’ debt cannot be crushed as Americans face this health and economic crisis.”
While Biden has promised to approve a $ 10,000 student loan waiver during his campaign, he has yet to deliver on that promise, and some lawmakers have said the 2022 midterm elections could cost Democrats a majority.
New York’s Alexandria Ocasiocortez said last month that it was “really misleading” to think Democrats could be re-elected if they did not act on priority voters such as student debt.
Vice President Kamala Harris addressed supporters’ concerns in a “Face the Nation” interview late last month, he said. It should continue to be “vigilant” on this issue, but has not provided specific means of obtaining relief for borrowers.
“Well, I think we need to keep doing what we’re doing and how we can creatively alleviate the pressure students are having because of their student loan debt,” Harris said.