Reports indicate that the White House may extend the freeze on student loan payments again

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The Biden administration’s Department of Education directed its federal student loan servicers not to notify borrowers that payments would resume after May 1, indicating that the administration may once again extend the pause on student loan repayments, according to reports.

CNBC reported Wednesday that the federal student loan servicers, who were expected to begin sending out letters to borrowers at the end of the month, are holding off on sending out notifications for the time being.

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A spokesperson for the Department of Education told CNBC that it was communicating on a regular basis with federal loan servicers about the “type and cadence” of outreach the servicers make to student debt holders.

White House Chief of Staff Ron Klain said in an interview with the left-wing podcast “Pod Save America” that the Biden administration was waiting to make a decision on student loan debt before it resumed payments. “The president is going to look at what we should do on student debt before the pause expires, or he’ll extend the pause,” Klain said. Biden previously campaigned on canceling tens of thousands of dollars in student debt per borrower, and released a memo in November which claimed that Biden has the authority to cancel student debt. Dozens of progressive Democrats have called on Biden to cancel up to $50,000 per borrower.

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