The Department of Education will extend the deadline for borrowers to consolidate student loans from April 30 to June 30.
wealth! Anchor Brad Smith details how this extension will help forgive some of borrowers' debts.
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This post was written by Melanie Leal
video transcript
Next, we move on to the latest information for Americans with student loans.
The Department of Education is giving borrowers more time to meet important deadlines for student loan forgiveness.
The 3.6 million borrowers who received federal loans under the Federal Family Education Loan Act have until June 30 to apply for loan consolidation. Loan consolidation is a loan consolidation that combines all of someone's loans into one loan in order to apply for an initiative that can wipe out debt.
Well, the previous deadline was April 30th.
The U.S. Under Secretary of Education said in a statement that borrowers could and should consolidate as soon as possible to take advantage of the forgiveness, which has already provided forgiveness to nearly 1 million borrowers. .
The department first announced this payment adjustment in April 2022 after failing to provide people with correct information about the forgiveness schedule, which resulted in some people paying back their loans longer than they should have, among other reasons. It was to address evidence of mismanagement of the scheme.