Biden Administration Extends Student Loan Freeze

(AP) – The Biden administration has announced that federal student loan payments will remain paused through Aug. 31, extending a freeze that began in 2020 but was set to end after this month. The action is meant to help millions of borrowers regain financial footing before they’re back on the hook for payments. The moratorium applies to most federal student loan programs including the Direct Loan Program. It does not cover private loans issued by banks or schools. The latest federal data show that more than 43 million Americans have student loans amounting to a combined $1.6 trillion.