“I think it’s great,” Missouri State student Gracey Bell says.
“I know that I personally don’t have student loans, but I feel for the people who do. And I couldn’t imagine being in a situation”
The Biden Administration announced an extension Wednesday on the pause of student debt repayment, interest and collect through the end of August.
The Department of Education says the additional time will allow people with student debt to plan for payments when the pause is over.
In addition, millions of federal loan borrowers would have any delinquent or default status erased and that would allow them to re-enter repayment in good standing.
White House Press Secretary Jen Psaki commented on the upside to the extension when the Biden Administration made the announcement earlier this week.
“That additional time will assist borrowers in achieving greater financial security and support the Department of Education’s effort to continue improving student loan programs.” said Psaki.
Students at Missouri State are reacting to the extension, including Bell, who says the pause is beneficial to those who are trying to save up for repayment.
“I think the pause will be nice so people can work extra hours, maybe just get more money in general to help pay for them in the end.” Bell says.
Lydia Ash, another Missouri State student says the excitement around the extension isn’t just coming from students.
“Yeah, I have a few friends who have taken out student loans that I know about, and then I have some professors who talk about it a lot,” Ash says.
“From what I can tell, they all feel really positively about the extension.”
Ash says she sees the pros in a pause for student debt but thinks there’s a better solution.
“I think what would probably be more beneficial if it got canceled? Like, i’ll just altogether. I think that would probably help people out a lot more.” Ash said.
There have been six pauses on student loans since March 2020.
Not all students had positive reactions to the extension. One student spoke to me on camera and expressed that the longer pause is a “band-aid” for borrowers.