Biden extends student loan moratorium before Jan deadline, amid Democrats' call for debt forgiveness

The Biden administration on Wednesday extended a moratorium on federal student loans that has allowed tens of millions of people in the U.S. to postpone making payments during the pandemic.

The moratorium was put in place by the Trump administration early in the pandemic amid high unemployment and will now remain in place through May 1, with a 0% interest rate. The measure, which has already had several extensions, was set to expire Jan. 31, according to the Associated Press. 

We know that millions of student loan borrowers are still coping with the impacts of the pandemic and need some more time before resuming payments," President Biden said in a statement.

More than 36 million Americans have student loans held by the federal government, with debt totaling over $1.37 trillion, according to the Education Department.

Some Democrats are calling for huge debt forgiveness. Biden has asked the Education and Justice departments to study the issue. He previously said he supports canceling up to $10,000 in student debt but argues Congress should do that, the wire service also reports.