It had to happen sooner or later

The repayment of federal student loans, which have been on hold for over three years due to the pandemic, is set to resume within a few months.

Now, millions of borrowers are grappling with how to afford their upcoming financial obligations.

The loan payment suspension, first introduced in March 2020, was extended eight times in response to the ongoing financial strains imposed by the pandemic.

We knew it couldn’t last forever, but there is mounting concern over repayments. Facing loan repayments again could make for a substantial rise in delinquency rates.

Meanwhile, consumer advocates argue that borrowers’ financial difficulties are far from over, noting the problems already present in the federal student loan system before the pandemic. Tack on the current state of the economy, and you’ve got a perfect storm brewing,

Adding to these worries is the recent instability in the loan servicing sector. Three major loan servicers – Navient, the Pennsylvania Higher Education Assistance Agency, and Granite State – >>have severed their ties with the government<<, leaving 16 million borrowers to navigate the complex system with new service providers.

Repaying student debt is an important part of many financial journeys.

If you find yourself back on the hook for student debt, and are unsure how to incorporate it into your financial plan, the good news is that we’re here to help you through this.

Call my office at 330 836 7800 or >>book a spot on my calendar here<< to talk about your financial situation and how we can make it work for you at this stage of your life and beyond the other side of those student loans.