Federal student loan borrowers are expected to start making payments for the first time in more than three years as the pandemic-era grace period comes to an end.
Congress passed a law preventing further extensions of the payment pause. Student loan interest resumed accruing starting Friday, Sept. 1, 2023. Payments are due starting in October.
---> Borrowers are reassessing their budgets as student loan payments resume after pandemic pause
FAQ: Student loan payments to resume
When did interest start accruing?
Interest started accruing on student loans starting Sept. 1, 2023.
When do student loan payments resume?
Most borrowers will have a payment due in October. They should expect to get their bill at least 21 days before their payment is due.
Which repayment plans are available?
There are several repayment plan options available. You can find the full list here or run your loans through a loan simulator to see which plan would work best for you.
What if I can’t make payments?
If you can’t afford payments, you should contact your loan servicer. You might be able to change your repayment plan to one that lowers your monthly payment. You can also ask about deferment, forbearance, or loan consolidation.
There is a 12-month “on-ramp” to repayment running from Oct. 1, 2023, to Sept. 30, 2024. Borrowers who miss monthly payments during that period will not be considered delinquent. They will not be reported to credit bureaus, placed in default, or referred to debt collection agencies.
What happened to student loan debt forgiveness?
The Supreme Court issued a decision blocking student loan debt forgiveness.
The Biden Administration announced a new path toward student loan debt forgiveness using a method called “negotiated rulemaking.” They do not have a timeline for the new debt relief program and who will qualify has not been determined.
How do I find my student loan servicer?
There are several student loan servicers. You can find yours by visiting your studentaid.gov account dashboard and scrolling down to the My Loan Servicers section. Or you can call the Federal Student Aid Information Center (FSAIC) at 1-800-433-3243.
How can I avoid scams?
You do not need to pay for help with your federal student aid. There are a number of fraudulent offers for financial aid or help (examples include a “pandemic grant” or “Biden loan forgiveness”) that are scams. Studentaid.gov has more information available on the scams to watch out for.