IFPTE Joins 180 Organizations in Calling for Continued Pause of Student Loan Payments

As working families face significant inflation and student loan borrowers continue to request the Biden Administration take steps to cancel student debt, IFPTE joined other labor unions, faith-based organizations, consumer protection and community groups, professional organizations, and other groups to call for President Biden to extend the pause on student loan repayment. The student loan payment pause ends on August 31, 2022 and, if allowed to expire, student loan borrowers would restart loan payments beginning on September 1.

The letter, sent to the White House on June 30, also reminds President Biden that student loan borrowers are waiting for the Biden Administration to decide what actions it will take on a broader or wide-scale cancellation of student loan debt.

The letter notes that both the impact of inflation hitting household budgets and the uncertainly about the extent of upcoming Presidential actions on student loan debt make an extension on the student loan payment pause necessary. The letter points out:

“A proposal to immediately restart student loan payments and make debt cancellation contingent on successfully navigating a bureaucratic process seems certain to undermine the Administration’s relief efforts, and cause significant confusion for borrowers who can expect to have their debts cancelled. One recent report noted U.S. Department of Education officials’ warned that requiring borrowers to apply for cancellation would significantly complicate and slow down cancellation, with experts predicting a “train wreck.”

Read the letter to President Biden asking for an extension of the student loan repayment pause here [PDF] and check out the press release from the Student Borrower Protection Center here.