WWW.QNS.COM RIDGEWOOD TIMES MARCH 19, 2020 3
New York state halts debt collection for student
loans and medical payments for ‘at least’ 30 days
BY JENNA BAGCAL
JBAGCAL@QNS.COM
@JENNA_BAGCAL
The state announced that it
would temporarily halt debt
collections on individuals who
owe payments on student loans and
medical bills to New York state, in
an eff ort to aid the fi nancial hardships
as a result of the coronavirus
pandemic.
According to Governor Andrew
Cuomo and Attorney General Letitia
James, the suspension on payments
would be “effective immediately”
for “at least a 30-day period” from
March 16 to April 15. Following that
period, the state will reassess the
needs of residents and issue possible
extensions.
“As the financial impact of this
emerging crisis grows, we are doing
everything we can to support the
thousands of New Yorkers that are
suff ering 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
fi nancial 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.”
Currently, the attorney general’s
offi ce identifi es more than “165,000
matters” that fi t the criteria for a
suspension of state debt. These cases
include, but are not limited to, the
following:
Those who owe medical debt to
the fi ve state hospitals and fi ve state
veterans’ homes;
Students who owe debts to State
University of New York campuses;
Individual debtors, sole proprietors,
small business owners and
certain homeowners who owe debt
relating to oil spill cleanup and removal
costs, property damage and
breach of contract, as well as other
fees owed to state agencies.
In addition to suspending debt
payments, the temporary policy will
also automatically suspend interest
accrual and collection of fees on all
outstanding state medical and student
debt on individuals referred
to the offi ce of the attorney general
(OAG).
“In this time of crisis, my offi ce will
not add undue stress or saddle New
Yorkers with unnecessary fi nancial
burden,” said James, “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 offi ce will not be collected
against them for at least 30 days. This
is the time when New Yorkers need to
rally around each other and pick each
other up, which is why I am committed
to doing everything in my power to
support our state’s residents.”
The state also encourages those
with non-medical or non-student
debt who have been referred to the
OAG to apply to temporarily halt the
collection of state debt. Those who
are interested can fi ll out an online
application or visit the OAG’s coronavirus
website to learn more.
Individuals unable to fi ll out an
online application can call the OAG
hotline at 800-771-7755 to learn
more.
Photo via Flickr/Governor Andrew Cuomo
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