Debt ceiling compromise reinstates student loan payments and sparks political debate.

The debt ceiling deal between President Biden and House Speaker Kevin McCarthy would end the pause on student loan payments and interest in late August, bringing in $5 billion each month. The deal would suspend the debt limit until January 2025 and now heads to Congress for a vote. The Biden administration's mass student debt forgiveness plan is currently held up in the Supreme Court, and efforts were already underway to bring student loan payments back before the deal. The Education Department has stressed that borrowers should prepare to start making payments again no later than 60 days after June 30 or after the Supreme Court issues its decision on the two cases challenging Biden’s broad relief plan.