President Joe Biden is expected to announce this week that he will once again extend the moratorium on federal student loan repayments until Aug. 31, sources in several publications said Tuesday.
The current break for these interest payments and accruals will expire on May 1st. If Biden extends the moratorium, it will be the fifth time the White House has extended it since March 2020, when former President Donald Trump enacted a policy since the COVID-19 pandemic shook many American economies.
Acquaintances confirmed the decision about Bloomberg, Politics, Meat and Associated Press. The White House did not immediately return a HuffPost request for comment on Tuesday, but Chief of Staff Ron Klein confirmed last month that Biden was considering extending the moratorium.
This expansion will benefit tens of millions of borrowers. Congressional Democrats cited how inflation and high gas prices have affected people’s budgets.
“Borrowers are struggling with rising costs, struggling to recover from public health and the economic crisis, and struggling with a broken student loan system – and all of this is especially difficult for blacks. who are in debt, ”Sen. said. Patty. Murray (D-Wash.), Chairman of the Senate Committee on Health, Education, Work and Pensions; Said last month.
He and other Democrats say the entire student loan system needs to change and are forcing Biden to fulfill his campaign promises, to forgive some of the borrowers ’debts, which they believe could lead to economic acceleration.
Republicans got it.
When Congress split the issue, Democrats forced Biden to use his executive powers to forgive some of the borrowers ’debts, but he appears to oppose this approach.
“If Congress sends him a bill, he’ll be happy to sign it,” White House spokeswoman Jen Psak said. In December said. “They haven’t sent him an invoice about it yet.”
Source: Huffpost
