Biden to push back student loan payment restart, again

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The Biden administration is planning to extend a pause on federal student loan repayments through August 31

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according to an administration official familiar with the matter.

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The repayment freeze, which has been in place since the beginning of the pandemic, was scheduled to expire on May 1.

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The administration is expected to announce the extension on Wednesday, the official said.

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Borrower balances have effectively been frozen for more than two years, with no payments required on most federal student loans since March 2020.

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During this time, interest has stopped adding up and collections on defaulted debt have been on hold.

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Both President Joe Biden and former President Donald Trump have taken actions to extend the pause.

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Biden had previously moved the payment restart date on three different occasions.

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