Student loan repayment plans scheduled to resume May 1
President Biden has extended the pause on student loan repayment plans.
President Biden extended the pause on student loan repayment plans that were previously set to expire on February 1. This comes as a response to the millions of student debtors still coping with the impacts of the pandemic and need more time before resuming payments. The student loan moratorium was implemented at the onset of the pandemic as a facet of the Coronavirus Aid, Relief & Economic Security Act (CARES), and has been extended through executive orders. After the pause expires, student loans will begin to accrue interest again after over two years.
According to Nancy Feltzer, interim director of Financial Aid at OU, students and alumni should use the extended pause to seek out information on their repayment plans.
“it is important that both current OU students and alumni with student loans start seeking out their personalized plan information and prepare for the restart of their loan repayments,” Feltzer said. “During these first two weeks of remote classes, we do encourage students to call our office to speak with a financial aid advisor who can also put you directly into a virtual meeting. That being said, we are also open for in-person service in the office located in 120 North Foundation Hall. We always have financial advisors available to help you during business hours 8a.m. – 5 p.m. Monday through Friday, so no appointment is needed.”
The Biden administration has faced scrutiny from both members of their party and constituents on how they are handling the $1.7 trillion student debt crisis. Isabella Mahuad, a third year OU student, feels the debt crisis could be handled differently.
“I feel that the student debt crisis could be handled a lot better. There seems to be a lot of backtracking and changes to what’s going to happen, which makes it really difficult for people to make informed financial plans. I’m not sure whether I know someone who will be affected by the pause expiring, but either way, this has been an incredibly difficult time for everyone, so I understand how the pause expiring could create a lot of added pressure for others.”
Biden has faced pressure from his constituents to use an executive order to cancel student loan debt. However, this seems unlikely as instead, the president has voiced support for canceling $10,000 in student loan debt for all students. According to a College Board estimate, the average student leaves college with $28,400 in loans, so canceling $10,000 would be significant.
To talk to a financial aid advisor, students can call their number — (248) 370-2550 — or email them at [email protected].
Visitors to the North Foundation Hall office are required to wear a mask and complete a daily health screening form. For more information, visit the financial aid homepage on OU’s website.
mike • Jan 14, 2022 at 9:17 AM
To cancel student loans is to subsidize bad decision making on the part of those who have failed to plan to repay or understand the effects of compound interest. Why should the blue collar tradesmen or Assembly lineworker or baker pay for your anthropology, psychology, teaching degree? It is a redistribution of wealth from the working class to the white collar professional class. If you decide to use college to “follow your dreams” and pursue either a worthless degree or take on debt disproportionate to your projected income post graduation then the consequence is to be saddled with debt the rest of your life.
The Feds should not be in the student loan business anyway for this exact reason. it is now used as a bribe to voters for what ever party makes these empty promises. Why would they ever cancel your debt anyway? The Democrats lose the bargaining chip of forgiving your loan in the future if they do it now anyway.
Take responsibility for your own choices and actions and stop asking the government permission to renig on your commitments. The pandemic is over, get back to work, pay your debt to society, become a productive citizen, and get some satisfaction out of being the pilot in your own life.