Student loan payments to resume in February

Millions of student loan borrowers will be required to make payments once again starting in February.

Posted: Dec 28, 2020 8:18 PM
Updated: Dec 28, 2020 8:22 PM

Millions of student loan borrowers will be required to make payments once again starting in February.

President Trump signed the new stimulus bill yesterday, but an extension of the pause on mandatory student loan payments was not included.

Athens State University (Image from Athens State University)

U.S. Secretary of Education Betsy DeVos did extend the student loan forbearance period until Jan. 31, though.

"It's been incredibly awful. I'm a professor and we're on nine-month contracts. So, I teach studio art, so we, what I usually do with my wife is during the summer, we don't get paid, we just get paid for those nine months, and then during the summers, we supplement our income," said Jamie Adams.

Adams is a Professor of Art at Athens State University. He says he has been paying off his student loans for 13 years and is not sure when he will be able to pay all of them off.

"I was a first-generation college student. I was the first kid in my entire family to go to college, much less get a degree. So, I made just about every financial mistake possible when it comes to student loans," said Adams.

He says he's been taking advantage of the pause on mandatory student loan payments.

"We're still taking advantage of it. I mean, it's just, you know, because when you lose your income for three months, it's not just your student loans you have to worry about paying. It's your rent, your mortgage, your car payment, your electrical, so ya, it was pretty tough."

Adams said he's had trouble paying his student loans before the pandemic, though, after he lost his job teaching at Judson College.

"I lost my job there several years ago, and you know, because of that and because I wasn't employed for a few months, I ended up defaulting on a couple of my student loans," said Adams.

Now, the $600 stimulus money approved by Congress and signed by President Trump that people will receive will not even cover a month's payment of student loans for Adams or his wife.

"My wife and I both went to college and the stimulus isn't going to pay our student loans for one month. I mean, it's not doing much for us," said Adams.

People with student loan debt will have another month to take advantage of not having to pay their mandatory student loans and the pause on interest accrual.

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