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New York Temporarily Cancels Some State Student Loans, Medical Debt During Coronavirus Outbreak 

by RaquelHarris
March 18, 2020
Reading Time: 2 mins read
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The state of New York will not make some people pay their medical or student loan debt during the coronavirus pandemic.

On Tuesday, New York Attorney General Letitia James said she will be temporarily pausing the collection of student loans and medical debt that is referred to her office. The pause will last at least 30 days, through April 15th, according to a statement released by New York Gov. #AndrewCuomo and James. This doesn’t cover all student loan debt, just debt that is sent to the AG office for delinquency from state institutions, according to ABC News. The outlet reports that attorney general deals with unpaid debt to New York through settlements and lawsuits brought on behalf of the state.

“In this time of crisis, my office will not add undue stress or saddle New Yorkers with unnecessary financial burden. New Yorkers need to focus on keeping themselves safe and healthy from the coronavirus, and therefore can rest assured that state medical and student debt referred to my office will not be collected against them for at least 30 days,” said James in a statement. James’ debt relief decision will assist about 165,000 cases, many of which are student loans and medical debt. If there is a need for the halt to be extended, it will be determined at a later date.

As for debts that do not cycle through the AG’s office: Cuomo says there will be applications for citizens to temporarily suspend various types of debt and collection referrals. “As the financial impact of this emerging crisis grows, we are doing everything we can to support the thousands of New Yorkers that are suffering due to disruptions caused by the COVID-19 pandemic,” Cuomo said. “This new action to temporarily suspend the collection of debt owed to the state will help mitigate the adverse financial impact of the outbreak on individuals, families, communities, and businesses in New York State, as we continue to do everything we can to slow the spread of the virus.”

With a little bit of love and care, Cuomo said we will move past the virus quicker. “Be a little bit more loving, a little bit more compassionate, a little bit more comforting, a little bit more cooperative. And we will get through this time,” he said during a news conference.

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