WASHINGTON, D.C. (WFLA) – Student loan borrowers can sigh a breath of relief as President Joe Biden announced another extension on student loan repayments.
The announcement comes just a few months before borrowers were expected to begin repayments at the end of January 2023.
After he announced his student loan forgiveness plan, it was put on hold as republicans attempted to block the debt relief plan.
President Biden shared in a video to Twitter stating, “I’m confident that our student debt relief plan is legal. But it’s on hold because Republican officials want to block it.”
“As Americans continue to recover from the pandemic, my administration is working to provide student debt relief to millions of working and middle-class families across the country,” said President Biden. “But Republicans special interest and elected officials sued to deny this relief, even for their own constituents.”
Loan repayment will now be paused no later than June 30, 2023, to give the Supreme Court time to hear the case in its current term. Biden also said that payments will resume 60 days after the pause ends.
Back in August, the Biden administration announced plans to forgive up to $10,000 in federal student loan debt for borrowers earning under $125,000, and as much as $20,000 for borrowers who received Pell Grants.