House Introduces Legislation To Extend Student Loan Payment Pause And Interest Waiver

Forbes

Mark Kantrowitz, Contributor

November 26, 2020

Representative Lauren Underwood (IL-14) introduced legislation in the U.S. House of Representatives on November 24, 2020 to extend the payment pause and interest waiver for government-held federal student loans.

The payment pause and interest waiver is set to expire on December 31, 2020.

The Pandemic Accommodation to Support Students Act (PASS Act) [H.R. 8820] amends the student loan relief section of the CARES Act to continue the payment pause and interest waiver through September 30, 2021.

Rep. Underwood said, “If the freeze on federal student loan payments is allowed to expire, millions of Americans could be thrown into even greater financial uncertainty, and we must use every avenue available to extend this urgently needed relief.”

The PASS Act was introduced with 79 co-sponsors from 28 states. Rep. Underwood is a member of the House Education and Labor Committee.

A similar provision appears in the Heroes Act [H.R. 6800]. The Heroes Act passed the House on May 15, 2020, but has been stalled in the Senate ever since.

A standalone bill to extend the payment pause and interest waiver may have a greater chance of being adopted.

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