The federal student loan payment pause, which has been in effect since March 13, 2020, due to the COVID-19 pandemic, is scheduled to end on December 31, 2022. This means that federal student loan borrowers will be required to resume making payments on their loans starting in January 2023. However, there is a possibility that the payment pause could be extended again, as it has been several times already. If the payment pause is not extended, it is important for federal student loan borrowers to prepare to resume making payments by gathering information about their loans and understanding their repayment options.
Resuming student loan payments is important for several reasons. First, it allows borrowers to pay down their debt and improve their credit score. Second, it helps borrowers to avoid defaulting on their loans, which can have serious consequences, such as wage garnishment and tax refund offset. Third, it ensures that the federal government can continue to provide student loans to future students.
