Pause on federal student loan repayments extended; Local students react

DAYTON — The Biden administration has announced that it will extend the pause on federal loan payments through the end of August.

A break for millions of Americans who have student debt.

Local college students reacted to the latest extension.

“I think it’s smart, it’s letting us kind of get back on our feet a little bit,” University of Dayton junior Michael Huth told News Center 7′s Brandon Lewis.

“I really think it helps me and other students who are paying it back on their own with no other help,” Jenna Schwabe, also a junior at UD said.

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But one student shared how many will still struggle, even with the extension.

“I still think it’s going to still be really tough on people when that deadline ends and people are still going to have to pay back that student loan debt,” UD Graduate Student Olyvia Green said.

Green said it’s not making the debt go away just “putting it on the backburner”.

According to the Education Data Initiative, about 15 percent of Ohioans have student loan debt with an average of nearly $35,000.

The initiative also reports the average student borrower in America takes 20 years to pay off their student debt.

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Kim Jenerette, the executive director of financial aid at Cedarville University, said you should have a strategy during the pause.

He recommends if you can, try to still tackle your unsubsidized loans since those start accruing interest once you get the money.

“Just have a plan ... it doesn’t have to be anything that would tie you down,” Jenerette said.

The extended freeze will end on Aug. 31.

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