INDIANA – Roughly 28 million borrowers will soon be required to pay their monthly student loan bill for the first time since a pandemic-related pause went into effect in 2020.
Interest on federal student loans restarted on September 1 and monthly payments will begin in October, though the exact due date varies by borrower.
Millions of borrowers have a different loan servicer than they did the last time they made a payment and millions of others who finished school during the pause will be making their first payment ever.
The Biden administration is encouraging eligible borrowers to apply to the government’s new income-driven repayment plan launched in August, Saving on a Valuable Education (SAVE), which is said to reduce monthly payments and the amount paid back over time.
Many people have told CNN they are experiencing hourslong waits when trying to reach their loan servicer on the phone with questions about their upcoming payment.
