Those are the same terms Congress agreed on in the last stimulus package. Lawmakers suspended education debt payments through Sept. 30 after the Trump administration in March gave borrowers the option of postponing payments for at least 60 days as the pandemic battered the economy.
As the deadline approached and Congress was unable to reach an agreement on an extension, Trump stepped in this month. But the president’s order created more questions than it gave answers about how the suspension would be applied. And by giving borrowers the option of halting their payments, rather than making the process automatic, and ignoring the treatment of loans in default, consumer advocates worried that many would fall through the cracks.
On Friday, the department addressed many of those concerns, though others remain. Chief among them is that the order still excludes more than 7 million borrowers whose federal loans are held by private