White House extends pause on student loan repayments through Aug. 31

WASHINGTON — President Biden announced Wednesday that his administration will extend the pause on federal student loan repayments through Aug. 31.

Read the original story below:

A U.S. official told The Associated Press that the White House plans to extend the pause on student loan repayments through Aug. 31.

>> Read more trending news

The pause on student loan repayments, prompted by the pandemic, was set to end May 1 after an extension was announced late last year.

Interest rates are expected to remain at 0% during that period, The Associated Press reported.

More than 7 million borrowers have defaulted on student loans, which occurs after being at least 270 days late on payments, according to The Associated Press. In total, 43 million Americans owe a combined $1.6 trillion in student debt that is held by the federal government.

Education and Labor Committee Republican Leader Virginia Foxx criticized the move and said in a statement, “This isn’t about the pandemic, this isn’t about targeted relief for struggling borrowers, it’s about setting the stage for blanket loan forgiveness.”