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Before Biden Enacts Student Loan Forgiveness, This Must Happen First

admin by admin
November 30, 2021
in Loans
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Prepare for the end of student loan relief. Effective January 31, 2022, temporary student loan forbearance due to the Covid-19 pandemic will disappear, and federal student loan payments will restart the next day with your regular interest rate. For nearly two years, student loan borrowers have not been required to make any federal student loan payments. Federal student loans also have had a 0% interest rate since March 2020, which will result in $110 billion of student loan cancellation for borrowers. With this student loan relief ending, many student loan borrowers are wondering whether Biden will enact wide-scale student loan cancellation and cancel everyone’s student loan debt. (These borrowers could get student loan forgiveness next). Before that happens, however, there are several considerations that must be evaluated first. Let’s explore.

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