Student loan delinquencies face 'meaningful rise,' New York Fed says

Olivia Rockeman

Federal student loan borrowers are likely to experience a notable increase in delinquencies once forbearance concludes in May, a report from the Federal Reserve Bank of New York found.

The federal government paused required payments on student loans when the pandemic began in 2020, and has since extended forbearance a number of times. Now, payments are scheduled to restart in a little over a month, which will impact 37 million borrowers.