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These Student Loans Should Not Be Affected By Trump's Temporary Loans And Grants Pause

These Student Loans Should Not Be Affected By Trump's Temporary Loans And Grants Pause


Published on 2025-01-28 17:00:46 - MSN
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  • KEY TAKEAWAYS The White House sent a memo to all government agencies that ordered a pause on federal grants, loans, and other financial assistance programs starting Tuesday at 5 p.m.The Department of Education said that federal student loans and grants that are "received directly by individuals" will not be affected by the White House's temporary

The article from MSN discusses the implications of former President Donald Trump's temporary pause on federal student loans and grants, which was initially implemented during the early stages of the COVID-19 crisis. This pause, which has been extended multiple times, does not affect all types of student loans. Specifically, private student loans, loans that are in default, and certain types of federal loans like Perkins Loans managed by schools, are not covered by this pause. Additionally, the article explains that while the pause stops interest from accruing and halts payments on eligible federal student loans, it does not apply to the repayment of federal student loans that are held by commercial lenders or those managed outside of the standard federal loan servicing system. The piece also touches on the ongoing debate and legal challenges regarding the broader student loan forgiveness plan, highlighting the uncertainty and confusion among borrowers about which loans are actually paused.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/news/politics/these-student-loans-should-not-be-affected-by-trump-s-temporary-loans-and-grants-pause/ar-AA1y1lkB ]
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