From a lack of awareness and communication to overwhelming options, it is unsurprising why many borrowers have not yet made a payment on their student loan balance.
The DOE released the first look at student loan repayment in a blog post since the payment pause expired. Of the 22 million, more than 4 million of these borrowers owe payments for the first time. From a lack of awareness and communication to overwhelming options, it is unsurprising why many borrowers have not yet paid their student loan balance. But interest is accruing now. Experts say that more consequences will accumulate if borrowers don’t act now.
“While most borrowers have already made their first payment, others will need more time,” U.S. Undersecretary of Education James Kvaal wrote in a blog post. “Some are confused or overwhelmed about their options. We want to make sure borrowers know that our top priority is to support student loan borrowers as they return to repayment.”
12-MONTH ON-RAMP PROCESS
SAVE REPAYMENT PLAN (SAVE)
— U.S. Department of Education (@usedgov) December 15, 2023
LOAN SERVICERS
The loan simulator on StudentAid.gov can guide you through which loan payment strategy might be best for your current situation.
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Source: Black Enterprise
