The U.S. Department of Education is Extending the Pause on Student Loan Repayment, Interest, and Collections (Again)


Student loan repayment was set to resume on January 1, 2023, after a two-year pause implemented during the COVID pandemic. Today, the U.S. Department of Education announced the pause will be extended.

The Biden-Harris administration has asked the Supreme Court an opportunity to resolve the lower-court orders preventing their one-time student loan relief of up to $20,000 from moving forward.

Student loan repayment is expected to resume 60 days after the Department of Education “is permitted to implement the program or the litigation is resolved, which will give the Supreme Court an opportunity to resolve the case during its current Term. If the program has not been implemented and the litigation has not been resolved by June 30, 2023 – payments will resume 60 days after that.”

The U.S. Secretary of Education Miguel Cardona explained they’re extending the payment pause “because it would be deeply unfair to ask borrowers to pay a debt that they wouldn’t have to pay.” 

 Over 26 million people have applied for debt relief and 16 million have been approved. However, the court orders prevent the Department from discharging any student loan debt and the application form has been taken down. 

Borrowers Have More Time to Prepare

We recommend you take this time to explore other repayment options such as income-driven plans.

Contact your IonTuition concierge advisor today if you have questions.