After a prolonged pause due to the COVID-19 pandemic, the Department of Education has announced the resumption of student loan payments. This means that millions of Americans who have federal student loan debt will need to begin making payments again. The department is urging borrowers to prepare for the restart and understand their repayment options.
Borrowers who fail to make payments risk having their wages garnished or being referred to debt collectors. This can negatively impact their credit score and financial well-being. The department encourages borrowers to log into their student loan accounts and update their contact information to ensure they receive important notifications. They should also explore income-driven repayment plans, which can lower monthly payments based on income and family size.
Several resources are available to help borrowers navigate the repayment process. The Department of Education website provides detailed information on repayment options, loan forgiveness programs, and how to avoid default. Borrowers can also contact their loan servicer directly for personalized assistance. The resumption of student loan payments marks a significant shift for many Americans, and proactive preparation is crucial to ensure a smooth transition.
Student Loan Payments to Restart After Pandemic Pause
The Education Department has announced that student loan payments will resume after a long pause during the pandemic. Millions of borrowers will need to start making payments again. The department warns that failure to pay could result in wage garnishment or referral to debt collectors. Borrowers are encouraged to review their repayment options and update their contact information.