President Biden is announcing that his administration will extend the pause on federal student loan payments while the White House fights a legal battle to save his plan to cancel portions of the debt. politics biden kprc2 click2houston studentloans
to examine the issue and reinstate Biden’s debt cancellation plan. By extending the pause, the administration says it's giving the court a chance to resolve the case in its current term.Biden announced the decision a day after more than 200 advocacy groups urged him to extend the pause, warning that starting payment in January would cause “financial catastrophe” for millions of borrowers.
But at the same time, the White House has warned that extending the payment pause will cost several billion dollars a month in lost revenue. The moratorium has already cost the government more than $100 billion in lost payments and interest, according to the General Accountability Office. But supporters of Biden's plan applauded the action, saying it provides a cushion to working-class Americans.
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Biden extends student loan repayment pause as White House goes to court over debt write-offPresident Joe Biden announced Tuesday that his administration will extend the pause on federal student loan payments while the White House fights a legal battle to save his plan to cancel portions of the debt.
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