Over 8 million people are currently in default on their student loans. Sen. Elizabeth Warren has led an effort asking the Department of Education to move student loan borrowers out of default status before payments begin again in February.
By Sharon Zhang, Truthout
Sen. Elizabeth Warren (D-Massachusetts) has led an effort asking the Department of Education to move student loan borrowers out of default status before payments begin again in February.
Over 8 million people are currently in default on their student loans, according to Warren’s letter addressed to Education Secretary Miguel Cardonas, and over 93 percent of people who were in default before the pandemic still have been unable to pay their debt. Warren writes that the agency has an opportunity to relieve a huge burden for borrowers and potentially help the economy at large.

“As the Department works to correct the past failures of the student loan program, it also has an opportunity to relieve a significant burden on borrowers by developing a policy to forgive debts for borrowers who have been in default for an extended period of time,” the letter reads. “Allowing payments and collections to resume without taking these actions to protect borrowers in default would undermine our economic recovery.”
The letter was signed by eight of Warren’s Democratic colleagues, including Senators Bernie Sanders (I-Vermont) and Ed Markey (D-Massachusetts).
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