December 10, 2021 | WASHINGTON, DC — Today, the U.S. Bureau of Labor Statistics released new economic data indicating that the American economy is currently experiencing the highest level of inflation in nearly four decades. Prices rose 6.8 percent in November when compared to last year. For families across the country, this means that the cost of food, housing, and other basic necessities has spiked even as the threat of a resurgent COVID-19 pandemic looms. At the same time, the Biden Administration announced plans to restart student loan payments for the first time in nearly two years, sending an average monthly bill of nearly $400 to tens of millions of Americans.
In light of the planned termination of the student loan payment pause and these new economic data, SBPC Executive Director Mike Pierce released the following statement:
“Today’s economic data make the strongest case imaginable for a change of course as the Biden Administration rushes headlong into a hasty and poorly timed restart of the entire student loan system. American families today are being forced to pay more to meet their basic needs, as rent, food, and energy prices skyrocket. Adding the burden of a student loan bill will stretch millions of families’ finances to the breaking point. Washington does not need this money; American families do.”
Earlier this week, the Student Borrower Protection Center led a coalition of more than 200 labor, civil rights, consumer, student, veterans, disability, and professional organizations in urging President Biden to abandon its plans to restart student loan payments on February 1st.
The Student Borrower Protection Center is a nonprofit organization focused on alleviating the burden of student debt for millions of Americans. The SBPC engages in advocacy, policymaking, and litigation strategy to rein in industry abuses, protect borrowers’ rights, and advance economic opportunity for the next generation of students.