Over 9 million student loan borrowers past due after bills restarted, Fed estimates

Around 9.7 million student loan borrowers fell behind on payments after the Covid-era payment pause ended, with a delinquent debt volume of over $250 billion by the New York Fed’s estimate. The Biden administration offered a 12-month “on-ramp” to repayment after the pause expired in September 2023, shielding borrowers from consequences, but as of September 30, 2024, delinquency rates hit 15.6%, surpassing pre-pandemic levels and potentially causing credit scores to drop over 150 points.

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