It’s almost time to resume student loan payments. What happens if you don’t?
By CORA LEWIS and ADRIANA MORGA
Associated Press
NEW YORK (AP) — After three years, the pandemic-era freeze on federal student loan payments will end in October. It may seem tempting to just keep not making payments, but the consequences can be severe, including a hit to your credit score and exclusion from future aid and benefits. Student loan interest will start accruing on September 1 and payments will restart in October. Experts say that delinquency and bankruptcy should be options of last resort. They say deferment and forbearance, which pause payments, though interest may continue to accrue, are often better in the short term.
