A pandemic-era student loan benefit is ending soon
Published: Sep. 30, 2024 at 5:52 PM EDT
(CNN) – A pandemic-era student loan benefit ends this week.
The one-year grace period for borrowers who miss a payment will no longer be in effect.
The Biden administration had provided this “on-ramp period” after student loan payments resumed, following the three-year pandemic-era pause.
During the last year, student loan services were not reporting missed, late or partial payments to the national credit bureaus.
However, they will now notify the bureaus, which could impact credit scores.
This change comes as the fate of a generous Biden administration student loan repayment plan is on hold as litigation plays out.
A hearing is scheduled for Oct. 15 at the 8th U.S. Circuit Court of Appeals.
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