College students and alumni are getting another reprieve as President Joe Biden plans to freeze federal student loan payments through Aug. 31.

Student loan payments were scheduled to resume May 1 after being halted since early in the pandemic.

According to the Education Department, 43 million people owe a combined $1.6 trillion in student debt.

"It's definitely helpful to not have to worry about an extra payment month to month," says NYU graduate Alfred Ragone.

Some congressional Democrats have pressed Biden to use executive action to cancel $50,000 for all student loan borrowers, saying it would jump-start the economy

"Biden is maybe leaning more towards forgiving up to $10,000 in student loan debt and others like Chuck Schumer are pushing for $50,000," says Mitchell Goldberg, a financial advisor for ClientFirst Strategy. "Where that falls - probably in the lower end, if at all."

Financial advisors say students and alumni should put money aside each month if they are paying a loan. That will prepare them better financially when the payments start again.

Interest rates would remain at 0% when student loan payments resume, according to the plan.