{"id":2129392,"date":"2023-12-19T19:04:02","date_gmt":"2023-12-20T00:04:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/nearly-9-million-student-loan-borrowers-missed-first-payment-after-pause\/"},"modified":"2023-12-19T19:04:59","modified_gmt":"2023-12-20T00:04:59","slug":"nearly-9-million-student-loan-borrowers-missed-first-payment-after-pause","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/nearly-9-million-student-loan-borrowers-missed-first-payment-after-pause\/","title":{"rendered":"Almost 9M student loan borrowers skipped initial payment after pause"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">20<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fnearly-9-million-student-loan-borrowers-missed-first-payment-after-pause%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2129392&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Close to\u2062 Nine Million Borrowers Miss First Student Loan Payment After Pandemic Pause<\/h2>\n<p>According to the Department of Education, nearly nine million people failed to make their first student loan payment after the pandemic\u200c pause ended this fall. This\u200b accounts for\u2064 approximately 40% of the 22 million borrowers\u2064 who\u2062 were due to make payments in October.<\/p>\n<p>In comparison, \u200cless than 26% of borrowers missed their payment in October\u2064 2019, before the pandemic pause took effect.<\/p>\n<p>The payment pause, which \u200dbegan \u2064in March 2020,\u2063 lasted \u2063for over three\u2062 years and\u2064 concluded\u2062 in October. Now, more than 28 million borrowers are \u200cexpected to \u2063resume payments.<\/p>\n<p>The Department of Education expressed concern for borrowers who may be confused or overwhelmed by their options. \u2064They\u200b emphasized their commitment to supporting student loan\u200c borrowers as they \u200btransition back to repayment.<\/p>\n<h3>Biden Administration&#8217;s &#8220;On-Ramp&#8221; Program<\/h3>\n<p>To protect\u200c borrowers from severe consequences resulting from missed payments, such as delinquency, default, and mandatory collections, the Biden administration has implemented an &#8220;on-ramp&#8221; program. This program\u2062 will be in effect \u200cfor the next year.<\/p>\n<p>In June, \u200dthe Supreme Court struck down President Biden&#8217;s $430 billion student debt relief plan, which aimed to \u200dforgive the loans of 40 million individuals. Despite\u200b this setback, Biden remains determined to find alternative ways to provide \u2062relief to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/joe-biden-attempts-to-quell-fears-over-inflation\/\" title=\"Joe Biden attempts to quell fears over inflation\">hard-working middle-class families<\/a>.<\/p>\n<p>Through various initiatives, the administration has\u2063 already forgiven up to\u200c $116 billion in student loans for\u200c over 3.4 million \u200dpeople. Additionally, the \u200cSaving \u2063on a Valuable\u200b Education (SAVE) plan has been \u200bestablished to reduce\u200c monthly \u200cpayments to $0 for millions\u2062 of low-income borrowers.<\/p>\n<p>As of now, more than 5.5\u2063 million borrowers are enrolled in the SAVE \u200dPlan, with 2.9 million not required to make any payments.<\/p>\n<p>Michael Burry, renowned for\u200b predicting the\u2064 subprime mortgage crisis, has raised concerns about the lower repayment numbers, considering it a potential warning sign of economic stress.<\/p>\n<p>While leftist lawmakers \u2063and activists have long advocated for broad student debt relief, critics\u2064 argue that \u2063forgiving student loans is unfair to those who diligently paid\u200d off their loans, especially since\u200d taxpayers ultimately bear the cost of <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-administration-forgives-39-billion-in-student-debt\/\" title=\"Biden Administration wipes out B in student debt.\">government-funded debt relief<\/a>.<\/p>\n<p><b><a href=\"https:\/\/onelink.to\/dwapp\" target=\"_blank\" rel=\"noopener noreferrer\" aria-describedby=\"sk-tooltip-9096\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/onelink.to\/dwapp&#038;source=gmail&#038;ust=1700760801843000&#038;usg=AOvVaw2PQrVSrJfhxNb4LcARqniG\">CLICK HERE\u2064 TO GET THE\u2062 DAILYWIRE+ APP<\/a><\/b><\/p>\n<p> <\/p>\n<h2> How \u200bhas the Department of Education expanded its outreach efforts to\u2063 ensure borrowers\u200c are \u2063aware of available resources for managing their student loan obligations?<\/h2>\n<p><span>  Hallenged \u200bin resuming their student loan payments after the pandemic pause. Many borrowers have faced \u200bfinancial hardships \u2064during the pandemic \u200dand may now find it difficult to meet their loan obligations. The Department of Education has urged borrowers to take advantage of \u2062the available assistance and\u200d resources to help them navigate the repayment process.<\/p>\n<p>The pandemic pause was implemented as a\u200b measure to provide temporary relief for borrowers who were financially impacted\u200c by the pandemic. During this period, borrowers were not required to make monthly payments and interest on federal student\u2063 loans was temporarily\u2064 set\u200c at 0%. This pause\u200d aimed \u200cto alleviate some of the \u200dfinancial burdens faced by individuals and families\u2062 during uncertain times.<\/p>\n<p>However, as the pause came to an end, a significant number\u2062 of borrowers were unable to make their first payment.\u2064 The\u2064 reasons behind this can vary, but it is clear that the pandemic has had a long-lasting impact on many individuals&#8217; financial well-being. Job losses, reduced income, and other pandemic-related challenges have left people struggling to meet their financial obligations, including student loan\u2062 payments.<\/p>\n<p>The Department of Education is aware of these challenges and has taken steps to address them. Borrowers who are unable to resume payments are encouraged to explore alternative repayment options, such as income-driven\u200c repayment plans, which adjust monthly payments based on one&#8217;s income and family size. Loan forgiveness programs and loan consolidation options are\u2063 also available for \u200bthose who qualify.<\/p>\n<p>Additionally, the Department of Education has expanded its outreach efforts to ensure \u2062that borrowers are aware of the available resources.\u200b They have partnered with loan servicers, financial\u2064 institutions, and other organizations to provide guidance and support to borrowers. Information about repayment options, loan forgiveness programs, and financial \u200ceducation resources is readily accessible online, and borrowers are urged \u200dto take advantage of these resources.<\/p>\n<p>It is crucial for borrowers to take proactive steps in managing their student loan obligations. Communication with loan servicers is key, as they can provide guidance\u200d and assistance based on individual circumstances. Falling behind on loan payments \u2064can have\u2063 serious consequences, including damage\u200c to credit scores \u2063and potential legal actions from\u200d loan servicers.<\/p>\n<p>Going forward, the \u2064Department of Education is committed to supporting borrowers through this challenging time. They are continuously evaluating and implementing new measures to aid borrowers in navigating the student loan repayment process.\u2063 The goal is\u2062 to ensure that students and graduates are \u2062not burdened by overwhelming debt and have access to \u200bthe resources they need to succeed financially.<\/p>\n<p>In conclusion, the\u200c end of the\u2063 pandemic pause on student loan payments has resulted in\u2063 nearly nine million borrowers being unable to make their first payment. The Department of Education recognizes the challenges faced by borrowers and encourages them to explore \u200balternative repayment options and\u2063 utilize available resources. Proactive communication with loan servicers and taking advantage of financial education and forgiveness programs can help borrowers manage their student loan obligations effectively. The Department of Education remains committed to supporting borrowers during this difficult time and will continue to implement measures to alleviate the burden \u2064of student loan debt.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Their first student loan payment after the pandemic pause ended. This accounts for approximately 40% of the 22 million individuals who were required to make payments in October, as reported by the Department of Education on Friday. These borrowers, totaling nearly nine million, had not fulfilled their payment obligations<\/p>\n","protected":false},"author":107,"featured_media":2129393,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[541],"tags":[],"class_list":["post-2129392","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-daily-wire"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2129392","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/107"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2129392"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2129392\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2129393"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2129392"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2129392"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2129392"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}