As student loan interest accrues, knowing repayment options is key
Sep 1, 2023, 6:30 PM
A sign reading "cancel student debt" is seen outside the Supreme Court, Friday, June 30, 2023, in Washington. A sharply divided Supreme Court has ruled that the Biden administration overstepped its authority in trying to cancel or reduce student loans for millions of Americans. For those with a student loan, interest began accruing on Friday, Sept. 1, 2023. Payments are scheduled to start back up in October. (Associated Press)
(Associated Press)
SALT LAKE CITY — Friday marked the first time since the beginning of the pandemic that student loan interest is accruing interest.
And for the thousands of Americans with student loan debt, that stress will start being felt once again. CNN reports payments will begin in October. The government has staggered the interest and payments, giving borrowers time to adjust.
Beth Hunsaker, an assistant director of the University of Utah Financial Wellness Center, told KSL NewsRadio that now is a good time to check on your situation.
“And it’s so important to look at the repayment options,” she said. “Part of what has changed is looking at income-based repayment options. So, it’s so important to go in and look at what your options are.”
She says studentaid.gov has a calculator that gives borrowers different options.
Hunsaker offers some tips for those who are going to be impacted when student loan interest starts accruing.
“It’s really important, number one, that you have your information up to date with your studentaid.gov, so you can find out who your servicer is,” she said.
“The second most important thing is to work it into your budget. You’re going to have to put these up on a high priority to make sure that you get these paid off in time.”
Mark Jones contributed to this article.
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