Meagan Dow
CFA, CFP®

On June 30, 2023, the Supreme Court struck down the Biden Administration's student loan forgiveness plan. The decision means that individuals who applied for debt forgiveness under this program will not receive it.

Student loan payments have been on pause since the start of the pandemic but will restart soon:

  • Student loan interest will resume starting Sept. 1, 2023.
  • Payments will be due starting in October 2023. Payments will be based on the full amount outstanding, with no reduction for debt forgiveness.

If you have an outstanding student loan, we encourage you to take the following steps:

  • Contact your loan servicer to verify your contact information and determine what and when your expected payment will be.
    • Explore whether other repayment options (such as an income-driven repayment plan) would be beneficial.
    • If you want to use autopay, review your autopay arrangement. Don't assume autopay arrangements you set up before the payment pause will still work.
  • Build the payment into your budget. This may mean adjusting other spending and/or saving categories.
  • As a last resort, if you can't afford your payments, explore deferment or forbearance. Keep in mind that these can result in higher costs in the future.

For more information, see Studentaid.gov: 6 Ways to Prepare for Repayment to Begin.

Important Information:

This is for informational purposes only and should not be interpreted as specific investment advice. Investors should make investment decisions based on their unique investment objectives and financial situation. While the information is believed to be accurate, it is not guaranteed and is subject to change without notice.

Before investing in bonds, you should understand the risks involved, including credit risk and market risk. Bond investments are also subject to interest rate risk such that when interest rates rise, the prices of bonds can decrease, and the investor can lose principal value if the investment is sold prior to maturity.

Investors should understand the risks involved in owning investments, including interest rate risk, credit risk and market risk. The value of investments fluctuates and investors can lose some or all of their principal.

Past performance does not guarantee future results.

Market indexes are unmanaged and cannot be invested into directly and are not meant to depict an actual investment.

Diversification does not guarantee a profit or protect against loss in declining markets.

Systematic investing does not guarantee a profit or protect against loss. Investors should consider their willingness to keep investing when share prices are declining.

Dividends may be increased, decreased or eliminated at any time without notice.

Special risks are inherent in international investing, including those related to currency fluctuations and foreign political and economic events.