Delinquent student loans surged after the repayment pause expiration, per New York Fed. Serious delinquency transition rates sharply increased in the second quarter of 2025. Total student loan debt hit $1.64 trillion, rising by $7 billion. Biden administration extended the pause while trying to cancel debt through executive actions.

Transition to serious delinquency highest among 50+ age group borrowers at 18%. Borrowers in the 40-49 age range followed at nearly 14%, with 30-39 age group slightly above 11%. Youngest cohort aged 18-29 had the lowest rate at over 8%. Trump initiated the pause, continued by Biden.

New York Fed reported credit card debt up $27 billion to $1.21 trillion, auto loans up $13 billion to $1.66 trillion in Q2. Auto loan rise linked to car buying increase before tariff-related price hikes. LendingTree analyst notes slight debt and delinquency upticks, except for student loans, amid economic uncertainty.

Read more at Yahoo Finance: Student loan delinquency rates highest in 21 years as COVID moratorium fades away