Federal student loans are not currently paused, and borrowers must resume regular payments
The federal student loan payment pause that began in March 2020 ended on September 1, 2023. Borrowers with federal loans held by the U.S. Department of Education must now make monthly payments again. If you have not made a payment since mid-2023, your loan servicer will contact you about restarting payments and may report missed payments to credit bureaus.
The pause covered loans made under the William D. Ford Federal Direct Loan Program and Federal Family Education Loan (FFEL) Program loans held by the department. It did not cover private student loans, which continued requiring payments throughout the pause period. If you are unsure whether your loans are federal or private, you can check your loan servicer information through the Federal Student Aid website or your loan documents.
Some borrowers may have been placed into income-driven repayment plans or received loan forgiveness through separate programs during or after the pause, but these are different from the payment pause itself. The pause was specifically a suspension of the requirement to make monthly payments.
Key Takeaways
- Federal student loan payments resumed on September 1, 2023, and borrowers must make monthly payments to their loan servicer.
- The pause applied only to federal loans held by the Department of Education, not private student loans.
- If you stopped paying during the pause and have not resumed, contact your loan servicer when ready to avoid damage to your credit score.
- Income-driven repayment plans and loan forgiveness programs are separate from the payment pause and may still be available depending on your loan type and circumstances.
How the pause worked and why it ended
The payment pause began on March 13, 2020, as a response to the COVID-19 pandemic. During the pause, borrowers were not required to make monthly payments, and no interest accrued on federal loans. The pause was extended multiple times over three years before ending in September 2023.
The pause ended because the federal government determined that the pandemic emergency had sufficiently improved to allow normal loan servicing to resume. Borrowers received notice from their loan servicers in the months before September 2023 about the restart date and what to expect.
What happens if you did not resume payments
If your federal student loans entered repayment status on September 1, 2023, and you have not made a payment since then, your account may be delinquent. Delinquency begins when a payment is 30 days late and can damage your credit score. After 270 days of nonpayment, your loan enters default, which has serious consequences including wage garnishment and the loss of certain federal benefits.
Contact your loan servicer as soon as possible if you have missed payments. Loan servicers can discuss payment options, including income-driven repayment plans that may lower your monthly payment, or temporary forbearance if you are experiencing hardship. The sooner you contact them, the more options you may have to avoid default.
Finding your loan servicer and current payment status
Your loan servicer is the company that collects your monthly payments and manages your account. You can find your loan servicer by logging into studentaid.gov with your FSA ID and checking the "My Aid" section. The site will list each of your federal loans and the name of the servicer handling it.
You can also call the Federal Student Aid Information Center at 1-800-4-FED-AID (1-800-433-3243) to confirm your servicer and current payment status. Have your Social Security number ready. The center can tell you whether your loans are in repayment, in deferment, in forbearance, or in any other status.
Income-driven repayment plans and payment amounts
When payments restarted in September 2023, many borrowers were placed into income-driven repayment plans automatically. These plans calculate your monthly payment based on your income and family size rather than the standard 10-year repayment schedule. Your payment may be lower, the same, or higher depending on your income and which plan you are on.
The four income-driven plans are Income-Based Repayment (IBR), Pay As You Earn (PAYE), Revised Pay As You Earn (REPAYE), and Income-Contingent Repayment (ICR). Each has different income thresholds and payment calculations. You can change plans at any time by contacting your loan servicer or updating your information through studentaid.gov.
Loan forgiveness programs separate from the pause
The payment pause is different from loan forgiveness. Some borrowers may be covered by forgiveness programs based on their job, loan type, or other circumstances. Public Service Loan Forgiveness (PSLF) forgives loans for borrowers who work in government or nonprofit jobs and make 120 may have access to payments. Teacher Loan Forgiveness covers teachers who work in low-income schools.
Borrowers with Perkins loans, FFEL loans, or Direct loans may have different forgiveness options. The Department of Education has periodically announced broader forgiveness initiatives, but these are separate policy decisions and are not part of the payment pause. Check studentaid.gov or contact your loan servicer to learn which programs you may be covered by.
What to do if you cannot afford your payment
If your monthly payment is unaffordable, you have several options. Income-driven repayment plans can lower your payment to as little as $0 per month if your income is low enough. You must recertify your income annually to stay on these plans.
Forbearance and deferment are temporary stops or reductions in payments. Forbearance pauses payments for up to 12 months at a time and can be renewed, though interest continues to accrue. Deferment also pauses payments but does not accrue interest on subsidized loans. Contact your loan servicer to discuss which option fits your situation.
Frequently Asked Questions
Can the payment pause start again?
The pause ended on September 1, 2023, and there is no current plan to restart it. Future pauses would require a new decision by the federal government. Monitor studentaid.gov and your loan servicer's communications for any announcements about changes to repayment requirements.
Do I owe interest that accrued during the pause?
No. Interest did not accrue during the pause on federal loans. Any interest that accrued before the pause began is still owed, but no new interest was added during the pause period itself.
What if I have both federal and private student loans?
Private loans were never paused and continued requiring payments throughout 2020 to 2023. Only federal loans held by the Department of Education were paused. Contact each of your loan servicers separately to confirm which loans are federal and which are private.
Can I get my payments back if I paid during the pause?
If you made voluntary payments during the pause, those payments reduced your loan balance. You cannot request a refund of those payments. However, if your loan servicer applied payments incorrectly or you have questions about specific transactions, contact them directly to review your account history.
What happens to my credit score if I missed payments after the pause ended?
Missed payments reported to credit bureaus will lower your credit score. The damage decreases over time, especially if you resume payments and stay current. Bringing your account current as soon as possible limits the impact on your score and prevents default.