Millions of borrowers left wondering about student loan payments restarting as May 1 nears
CBSN
Payments on federal student loans are set to kick back in for roughly 37 million borrowers in just over a month. But with the May 1 end of the payment pause rapidly approaching, signals have been mixed on whether that deadline will be extended, leaving millions of borrowers in limbo with financial preparations.
Payments on federal student loans were first halted in spring 2020 as the coronavirus pandemic plunged the country into an economic crisis. Since then, it has been extended multiple times, most recently by President Biden last December, when it was pushed to the current May 1 restart date.
"I think it's still up for grabs whether payments will be turned on or not," said Natalia Abrams, president and founder of the Student Debt Crisis Center. "If in fact they are, borrowers are not ready to resume payments."
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