31 May In-the-News Update [Issue: Education]
With mounting pressure from student loan refinancing companies and the student debt forgiveness plan currently being held up in the Supreme Court, the debt ceiling decision will reinstate student loan payments and the accrual of interest in late August. Education Secretary Miguel Cardona reminds borrowers that they should begin preparing for payments to resume no later than 60 days after June 30 or after the Supreme Court issues its decision on the two cases challenging Biden’s mass student debt forgiveness plan. However, according to internal Education Department documents, it could be until October at the earliest that the process resumes – anticipating needing several months to transition back into payments.