Federal Reserve data shows 12.9% of loans entering serious delinquency after pandemic payment pause ended
The Federal Reserve Bank of New York on Tuesday reported a significant rise in the number of delinquent student loans after the end of a moratorium on student loan repayment and the resumption of reporting delinquencies to credit agencies.
The New York Fed's Center for Microeconomic Data released its Quarterly Report on Household Debt and Credit, which found that the number of student loans transitioning into serious delinquency rose "sharply" in the second quarter.
From the second quarter of 2020 to the fourth quarter of 2024, missed federal student loan payments weren't reported to credit bureaus and, with the resumption of reporting, delinquency rates have risen.
The New York Fed found that, in the second quater of 2025, a total of 10.2% of aggregate student loan debt was 90 or more days delinquent, a figure that is slightly below pre-pandemic levels that were roughly 12% from 2013 until those rates were driven to 2% or lower during the pandemic era repayment pause.
The total amount of outstanding student loan debt was $1.64 trillion in the second quarter of 2025 after rising by $7 billion in the quarter. --->READ MORE HERE
A former loan officer and two other women have been convicted in pandemic fraud cases.
Rena Barrett, a former Small Business Administration loan officer, pleaded guilty on Monday, to making false statements in connection with over $550,000 in fraudulent COVID-19 pandemic loans.
According to the U.S. Attorney’s Office of the Northern District of Georgia, Barrett was employed by the SBA since October 2020.
Officials said she submitted a false Economic Injury Disaster Loan application for $170,000 in May 2021, which was initially denied; she later approved herself in July 2021. Her actions were discovered shortly thereafter, leading to her resignation.
“It is intolerable that Barrett—who was entrusted to process loans for desperate small businesses—placed her personal greed ahead of doing her job honestly,” said United States Attorney Theodore S. Hertzberg. --->READ MORE HEREFollow links below to relevant/related stories and resources:
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