FOR IMMEDIATE RELEASE
November 22, 2022
Contact: Juan Ramiro Sarmiento
(785) 760-6567 | JuanRamiro.Sarmiento@younginvincibles.org
Student Debt Advocates and Borrowers Celebrate Repayment Pause Extension
Debt Cancellation Movement Secures Victory In Fight For Relief
(Washington, DC) – Today, President Biden announced an extension of the federal student loan debt repayment pause for up to an additional six months as a result of a federal appeals court nationwide injunction on the relief program. This is the eighth time the U.S. Department of Education has extended the repayment moratorium since the first implementation in March 2020. Federal student loan payments are now scheduled to resume 60 days after litigation is resolved or 60 days after June 30, 2023, if litigation has not ended and the relief program is not implemented, whichever comes first.
Earlier this year, the Biden Administration unveiled its widely anticipated debt relief program, enacting broad cancellation of up to $20,000 for Pell Grant recipients and $10,000 for borrowers earning less than $125,000 (or $250,000 for households) annually. The program has since met an onslaught of lawsuits from some elected officials and special interest groups determined to stop student loan debt relief for working-class families. Cancellation is currently blocked by the courts and new applications for cancellation are paused.
In response, Kristin McGuire, Executive Director for Young Invincibles issued the following statement:
“We commend President Biden and his Administration for taking the necessary step to extend the repayment pause once again as we await the resolution of ongoing litigation attempting to thwart significant debt relief for millions of borrowers across the nation.
President Biden has once again demonstrated his unwavering commitment to student borrowers. His actions are emblematic of his continued solidarity with the millions of Americans saddled with the burden of student loan debt. Borrowers will enter this holiday season and the new year without the financial uncertainty that comes with an end to the repayment pause.
Advocates and borrowers alike are celebrating President Biden’s actions today as a victory in the protracted fight to deliver student loan debt relief for borrowers. This is the right move. The end of the repayment pause would create confusion and an unnecessary financial burden for borrowers.
We applaud the Biden Administration for making sure that politically-motivated lawsuits don’t cost borrowers. Now the courts must throw out these baseless lawsuits to provide relief to borrowers. Young Invincibles remains unflinching in our collective fight for affordable and accessible higher education for all.”
In response, Satra Taylor, Student Borrower, and Higher Education Policy Director for Young Invincibles issued the following statement:
“I am elated, to say the least, about the extension of the pause. I have accumulated more than $50,000 in debt to obtain the American Dream and provide for my family. Young adults are more likely to delay a major milestone due to student debt burdens.
This extension allows me to breathe and plan for other goals, such as homeownership.”
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Young Invincibles (YI) is a national advocacy and policy nonprofit organization focused on amplifying the voice of young people in the political process at the local, state, and federal levels. YI focuses on issues impacting young adults ages 18 to 34 in higher education, health care, economic security, and civic engagement. Our offices include Washington, D.C., California, Colorado, Illinois, New York, and Texas. For more information, please contact Juan Ramiro Sarmiento at (785) 760-6567 or juan.sarmiento@younginvincibles.org