Biden extends pause on student loan payments to 2022

The Biden administration is extending the pause on federal student loan payments due to the coronavirus pandemic through Jan. 31, which the administration described as the final extension.

Student loan payments have been paused since Congress passed the CARES Act last year but were due to resume in September. During the pause, borrowers do not need to make payments and interest will not accrue on their remaining balance.

The Education Department described it as a “final extension of the pause” in the official announcement Friday afternoon. The administration said that the additional time will give borrowers the opportunity to plan for the resumption of loan payments, thereby reducing the risk borrowers will be delinquent or default on their loans. The new extension gives borrowers six months until payments will resume.