Biden administration offering “On Ramp Period” for student loan repayments
LAKE CHARLES, La. (KPLC) - Student loan payments are due in October. However, for the next 12 months, borrowers will be able to skip payments without facing the harsh financial consequences of defaulting on their loans.
The Biden administration is providing what it calls an “On Ramp Period” until Sept. 30, 2024.
During this time, a borrower won’t be reported as being in default to national credit rating agencies, which can damage a person’s credit score.
However, borrowers aren’t off the hook entirely. Interest will still accrue on skipped payments.
For more information on this policy, you can visit the U.S. Department of Education’s website HERE.
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