ED Extends Emergency Flexibilities for Defaulted Federal Student Loans

(Washington, DC) Earlier today, the United States Department of Education announced the expansion of emergency COVID-19 relief for federal student loan borrowers in default and a continued pause on collections and interest. Additionally, any involuntary collections or defaults executed throughout the global pandemic will be reimbursed or restored retroactive to .

In response, Kyle Southern, Policy and Advocacy Director for Higher Education and Workforce for Young Invincibles, issued the following statement:

In September 2020, Young Invincibles proposed a joint 100-Day Plan for Young America that included ending federal student loan collection actions–including federal seizures of the Earned Income Tax Credit and tax refunds–that can harm working low-income borrowers who are in or at risk of default on their federal student loans. Today, we are pleased to see this policy proposal realized.”