The Biden Administration's one-year grace period for student loan payments is coming to an end. Student loan expert and author of How to Appeal for More College Financial Aid Mark Kantrowitz, joins Wealth! to discuss what this means for borrowers going forward.

Kantrowitz points out that approximately 6.7 million borrowers will now have to resume making payments as this "on-ramp" period expires. He explains that previously, if someone hadn't made payments for 90 days, their loans would automatically enter forbearance. Now, however, borrowers will need to start making payments on their average student loan, typically amounting to "a few hundred dollars a month."

Despite this change, Kantrowitz highlights that options for forbearance and pausing payments still exist. However, he cautions that using these options will result in continued interest accrual, potentially increasing the overall debt. Given this situation, Kantrowitz advises individuals to make their monthly loan payments if they are financially able to do so.

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This post was written by Angel Smith