Former President Donald Trump paused student loan payments in March 2020 due to the pandemic. Payments resume this month after a three-year pause. Interest on federal loans began accumulating again in September and the first monthly payments began in October. You will get your bill with your payment amount and due date at least 21 days before the due date, according to the Federal Student Aid website.
Here are some things you should know about your student loan payments:
Stay updated
You can update your contact information at StudentAid.gov so all of your information is up to date. Try to do this as soon as possible so you do not forget.
The Biden administration is providing a year-long period to help loan borrowers get back into the routine of completing these payments. If you happen to miss a payment from Oct. 1, 2023, to Sept. 30, 2024, your loan servicer will add any missed payments on to the end of your loan term. This prevents any consequences associated with missed, late or partial payments.
Keep it affordable
Federal Student Aid offers resources such as a loan simulator so students can compare payment plans and find the best student loan repayment strategy for them.
Signing up for autopay also saves you 0.25% on your interest rate, according to the Federal Student Aid website. If you choose autopay, you will get a reminder before each withdrawal.
If you need a lower payment, consider applying for an income-driven repayment (IDR) plan. The new SAVE Plan, the most recent IDR plan, bases your monthly payment on your income and family size.
Check for what you qualify for
Loan forgiveness options are available for people who have a disability, work for a nonprofit, those who are enrolled in a school that abruptly closed and many others. To check if you are eligible for a loan forgiveness program, you need to submit a Public Service Loan Forgiveness form to be considered for loan forgiveness.
CORRECTION: This story has been updated to reflect repayments resumed Oct. 1, 2023.
