5 Student Loan Forgiveness Updates As On-Ramp Begins And Problems Worsen

Borrowers have officially resumed repayment on federal student loans after a three-year hiatus. While the Biden administration implements a number of student loan forgiveness initiatives, the Education Department is also trying to ease the transition back to repayment. But borrowers are reporting widespread problems.

Those who were covered by the student loan payment pause will be protected by the “on-ramp” period until next fall. This program will protect borrowers from experiencing delinquency and default if they miss a payment. Any missed payments will be retroactively converted to a forbearance. However, many borrowers may not be aware of these flexibilities as they contend with miscalculated payments and long call hold times when trying to reach their loan servicer.