Biden administration pausing student loan payments again

Politics

(NewsNation) — As the legal fight over President Joe Biden’s student debt cancellation executive order continues to play out, the administration announced this week that it will be continuing the pause on student loan payments.

The U.S. Department of Education said that payments will resume 60 days after the litigation has been resolved. Alternatively, if the legal challenges are still ongoing by June 30, 2023, payments will begin 60 days after that.

“This action by the president to provide debt relief to 40 million middle class Americans is something that is needed,” Secretary of Education Miguel Cardona told NewsNation on Wednesday. “And the announcement yesterday to extend the pause is intended to make sure that we have resolution on this issue before we ask them to come back into repayment.”

Last week, the 8th Circuit Court of Appeals issued an injunction blocking the implementation of Biden’s executive order that gave debt relief to millions of borrowers. The Biden administration has petitioned the Supreme Court to allow the relief to move forward.

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