The Biden administration has issued a last-minute extension of a program offering federal student loan borrowers in default a chance to regain good standing, but they must act fast to be included.
The original deadline of the U.S. Department of Education’s “Fresh Start” program was Sept. 30, but borrowers now have all day Tuesday Oct 1 and until 3 a.m. ET on Wednesday to apply due to web issues that slowed online applications.
“Extended deadline!” Under Secretary of Education James Kvaal wrote on X. “Until tomorrow, borrowers with defaulted loans have one more chance to get back into good standing.”
According to the Education Department, roughly 8 million Americans had defaulted on their federal student loans before March 2020, when all payments on loans were paused and interest rates set to zero in the wake of the COVID-19 pandemic….