Student Loan Payments Resume Next Month: Borrowers Brace for Financial Hardship

More than 40 million Americans will have to resume federal student loan payments starting in late August.
Without further intervention, the Education Department predicts historic rates of delinquency and default.
The end of the pandemic-related payment pause will cost borrowers $18 billion a month, threatening economic recovery.
Especially vulnerable are those who finished college during the pandemic, with lower balances but higher risk of default.
For some, the burden of payments means sacrificing life milestones like buying a home or starting a family.