56% of debtors claim they will have to decide between paying down their debt and getting groceries once student loan installments resume

Returning federal student loan payments will have a disastrous impact on debtors’ finances.

For the very first time in more than 3 years, interest accruals start up again on September 1.

However, based on a recent Credit Karma poll, more than half of borrowers (56%) believe that when the extended forbearance expires, they would be required to pick between paying their loan balance and basic expenses like housing and meals.

The results confirm long-held fears held by the Biden administration and numerous experts. Continuing student loan payments is expected to upset thousands of families that discovered some financial comfort during the previous 3 years, even though the worst of the pandemic is behind us and unemployment is down from its dramatic increase the previous year.

Based on Credit Karma, the most frequent adjustment made by borrowers for making student loan payments is cutting back on unnecessary expenditures. However, you can only cut back on numerous expenses.