The federal student loan flexibilities have been extended. The current 0% interest rate, suspension of payments, and stopped payment collections on federal student loans owned by the Department of Education (ED) will now continue through at least Sept. 30, 2021.
Visit StudentAid.gov/coronavirus regularly for the latest information on these flexibilities and when they are scheduled to end.
Here’s what this means:
• You aren’t required to make payments on ED-owned student loans until at least after Sept. 30, 2021, and no interest will accumulate.
• Collection activities, such as Treasury offsets and wage garnishments, will not resume until at least after Sept. 30, 2021.
• If your loan is in the process of being rehabilitated, you will continue to receive payment credit for each month during the suspension period when you would have otherwise made a payment under the terms of your rehabilitation agreement.
Options for Getting Out of Default
Learn more about and explore your options for getting out of student loan default, including loan consolidation at https://studentaid.gov/app/launchConsolidation.action?utm_source=MCP&utm_medium=email&utm_campaign=mcp-feb-dfl and loan rehabilitation at https://studentaid.gov/manage-loans/default/get-out?utm_source=MCP&utm_medium=email&utm_campaign=mcp-feb-dfl
If you enter a new rehabilitation agreement during the payment suspension, suspended payments that would have been made from the beginning of your agreement until the end of the payment suspension will count.
Please share the information with your families, friends, and network.