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Student Loan Payments Resume in October: Here’s Everything You Need to Know

September 5, 2023

After a three-year hiatus, repayments on federal student loans begin again this October. If you already have a student loan that’s previously been suspended because of the Covid-19 pandemic, you will be required to resume paying both the principal and interest due.

Thanks to the CARES Act, federal student loans were paused in March 2020 with interest at 0%, and it’s stayed that way since. President Joe Biden tried to initiate a plan to forgive $430 billion of student loan debt, but the Supreme Court blocked that plan in June when it ruled the program an unlawful overreach of executive power in a 6-to-3 decision. After this long hiatus, borrowers will have to once again start paying down their loans plus interest.

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