The Biden Administration is withholding $7.2 million in payments to the Missouri Higher Education Loan Authority (MOHELA) for not sending billing statements on time.
Multiple media outlets are reporting that MOHELA failed to send out statements to about 2.5 million borrowers in a timely manner, resulting in more than 800,000 of them missing their monthly deadline for making payments.
U.S. Senator Josh Hawley, R-Missouri, said both sides should share the blame.
“The MOHELA contractors are people who the Biden administration pay and work with, so this is like two people fighting and who gets hurt in the end is the people of Missouri,” Hawley told Missourinet. “I don’t have any sympathy, really, for either of them. I mean, my view is ‘figure it out and get it done.’”
But Hawley also said the Biden Administration should not hold borrowers in Missouri responsible.
“They spent all this time, Biden has, pursuing a student loan forgiveness program that the Supreme Court ruled illegal,” he said. “In the meantime they haven’t properly funded or look towards the servicing of people who have current loans.”
Copyright 2023, Missourinet.