NAACP Expresses Deep Frustration Over White House’s Decision to Resume Federal Student Loan Payments, Calls for Action to Address Racial Wealth Gap

The NAACP is expressing deep frustration over the White House’s decision to end the pause on federal student loan payments as part of a deal with House Speaker Kevin McCarthy. According to a spokesperson, the organization plans to send a letter to President Joe Biden on Tuesday night expressing their disappointment.

In the letter, Wisdom Cole, the NAACP’s national director of youth and college, and Derrick Johnson, the president of the organization, said that the resumption of pandemic-paused loan payments is a setback for Black Americans and ignores the racial wealth gap. They argued that the agreement will erode economic progress for Black Americans.

The NAACP leaders also noted that while they welcomed the resolution of the debt ceiling crisis, they were disappointed that the needs of Black communities were not taken into account. They said that the agreement “will have a disproportionate impact on Black borrowers, who are more likely to take on student debt and are more likely to default on their loans.”

The NAACP is calling on the Biden administration to take action to address the racial wealth gap and to ensure that Black borrowers are not disproportionately impacted by the resumption of federal student loan payments. They are urging the administration to provide targeted relief to borrowers who are struggling to repay their loans.

The NAACP’s letter to President Biden is the latest in a series of efforts to address the racial wealth gap and to ensure that Black Americans are not disproportionately impacted by the pandemic. The organization is committed to advocating for policies that will help close the racial wealth gap and ensure that all Americans have access to economic opportunity.