How the latest student loan pause could help borrowers — even without forgiveness

All student loan borrowers currently in default will be given a fresh start once the federal moratorium on student loan payments expires — a move experts say could help millions unburden themselves from crippling debt.

While the “fresh start” offered by the Biden administration’s new plan would not actually forgive debt — the step demanded by advocates and one the president promised during his campaign — it would cut off penalties imposed on borrowers that could help them pay their bills and lift their credit scores.