Will student loans be paused again Reddit

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r/StudentLoans

Check out POTUS on twitter.

Will provide link when I find it.

"I'm confident that our student debt relief plan is legal. But it's on hold because Republican officials want to block it.

Thats why SecCardonda is extending the payment pause to no later than June 30, 2023, giving the Supreme Court time to hear the case in its current term."

https://twitter.com/POTUS (Thanks to Snopes504 for providing link)

No. It’s to my understanding that it was only able to be paused due to the national emergency declared by the pandemic. Since the pandemic is “over” more or less politically and the emergency is set to end in Feb, I don’t think they could go back and unpause it at least under the heroes act. Even if we’re in a recession that doesn’t constitute a national emergency so congress would have to pass some sort of act that pauses it again which I can’t see happening, especially if dems lose seats.

Edit: just to clarify, many signs such as Biden comments on 60 minutes, dwindling media attention, public apathy, no mask mandates, RTO pushes point to the fact that the pandemic is “politically” over. None of these things will cause the NE to end, but they are signs that politicians and the public are ready for it to end. It’s not up to the public, of course, but Biden or Congress could end it.

According to the WH, We’ll get 60 days notice if it’s ending for real this time so we should know for sure by about 11/11/2022. Until then, we need to operate with what we know now which is that there could be no payment pause without an national emergency extension.

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r/StudentLoans

I graduated in May and haven't made any payments yet, not sure if I should start knocking some of my debt out or wait and see

level 1

there's ALWAYS A chance....

best plan is to keep putting money aside until the bill comes due

level 2

Yeah that's fair. For some reason making that one large lump sum payment at the end of August gives me some anxiety

level 1

I don’t think Biden and the Dems in general can afford to not extend the deadline. They have midterms to think about. Extending the deadline is the bare minimum they need to do if they want to succeed.

level 2

By this time, it would have already been announced. Although, they did say they were working in something a little bit after the last extension. My thoughts, 10k off and keep paying.

level 1

It’s likely they extend or do something else to ensure you vote for them in midterms.

level 1

Hope for the best, plan for the worst.

level 1

I'm pretty sure there will be another extension that lasts until the end of the year. The Biden administration can use high gas prices and inflation as an excuse saying borrowers need every dollar they have to pay for gas, food, etc. I really think this will be the last extension. More than two years have passed since the forbearance was initiated and I can't see the administration going into a third year with it.

level 2

And the public health emergency is in place until 12/31 as well & that’s the original reason for the pause.

level 1

The real question is who faces the backlash once repayments do restart. I was just at NASFAA in Austin and was in a meeting with Experian. We discussed the risk associated with loan defaults once repayment restarts. Based on their research; it's not gonna be pretty.

level 2

How so? What would be the consequences of payments restarting?

level 1

I mean, nothing is certain but I think it's a good bet. I don't think the Dems are quite dumb enough to lift the freeze three months before the midterm.

level 1

My fantasy is that Biden does a wholesale forgiveness on all federal loans as a giant middle finger to republicans over the roe v wade decision.

level 2

It's cute that you think he actually cares.

level 1

I’d be very surprised if they let the pause end before November

level 1

If there's any amount of forgiveness before that then I'd say there's almost no chance. If there is no forgiveness then almost definitely. It's one or the other before midterms.

level 1

It’s forgiveness or extension come September. If they restart payment right before midterms it’ll be a disaster for every edge the dems have gotten over the SCOTUS bullshit.

level 1

It probably will be extended