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Trump announces he'll waive interest on federal student loan payments amid the coronavirus crisis

Michelle Mark   

Trump announces he'll waive interest on federal student loan payments amid the coronavirus crisis
Finance2 min read
donald trump rose garden
  • President Donald Trump announced he would waive interest on federal student loan payments amid the coronavirus crisis sweeping the country.
  • On Friday, Trump declared a national emergency, opening up greater government resources to combat the worsening crisis.
  • The action on student loans was one of several efforts to avert major economic repercussions for Americans.
  • Earlier this week, Democrats also pushed Trump for a broader six-month loan-forgiveness plan for people with student debt.
  • Visit Business Insider's homepage for more stories.

President Donald Trump on Friday announced he would waive interest on all federal student loan payments amid the coronavirus crisis.

It's one of several efforts the Trump administration is making to avert major economic repercussions on Americans as a result of the pandemic, which has so far killed 41 people and sickened at least 1,800 others.

On Friday, Trump declared a national emergency, opening up greater government resources to combat the worsening crisis.

Coronavirus fears have hammered the economy, plunging workers and businesses across the country into doubt and prompting calls for actions such as loan forgiveness, tax relief, and bailouts.

Trump said the waiver on loans will last under "further notice." Many schools around the country have closed their campuses and are making shifts to distance learning in an effort to help contain the pandemic.

steven mnuchin

The treasury secretary, Steven Mnuchin, said earlier Friday that the government would consider suspending student loan payments altogether, but Trump stopped short of the more drastic action.

"That's on our list of 50 different items we're bringing to the president for a decision. That'll be something we're looking at," Mnuchin told CNBC.

Earlier this week, Democrats also pushed Trump for a broader six-month loan-forgiveness plan for people with student debt.

At a press conference on Friday, Trump paraded a series of top CEOs in front of the media gathered in the White House's Rose Garden. He announced that a number of US companies will aid the efforts to provide widespread coronavirus testing and other forms of relief.


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