With the world facing a health and economic crisis from the widespread outbreak of the coronavirus, Young Invincibles is calling on President Donald Trump to immediately suspend all required payments of public student loans for six months and all call on private lenders to do the same, among other proposals.
Below is a statement from Kyle Southern, Director of Higher Education Policy and Advocacy for Young Invincibles.
“In this global crisis, coronavirus has the potential to devastate the economic security of countless young people. Today’s young people are the most indebted in history, are more likely to be living paycheck to paycheck, and are more likely to be working in hourly or low wage jobs that are being impacted by widespread closures. Every dollar counts for young people struggling to keep themselves healthy, safe, and financially secure.
Although President Trump intends to freeze interest on student loans, that step alone doesn’t go nearly far enough. With $1.6 trillion in student loans hanging over borrowers’ heads, President Trump must immediately suspend all required public student loan payments for six month and call on private lenders to do the same. By suspending required payments, the President can put hundreds of dollars per month in the pockets of young people, helping relieve an immense financial burden as they navigate this crisis.
The 2008 recession showed us the devastating impact that crises like these can have on young people. With the economy in a downward spiral and the health of the country in jeopardy, young people are facing unemployment, working in jobs that put them in harm’s way, and struggling to balance their immediate needs with their long-term financial security. But there is a solution, and we call on President Trump to help borrowers keep themselves healthy and safe by suspending required student loan payments for six months. A crisis of this magnitude requires swift action, and we stand ready to work with the President on this bold solution.”