WILKES-BARRE, Pa. — Daniel Hamilton is used to helping people manage their money. He is a financial advisor with Mid America Group Northeast in Wilkes-Barre.
Hamilton tells us the Supreme Court's ruling to strike down the president's student loan forgiveness plan will have a big impact across Pennsylvania.
"Pennsylvania does have a large per capita of students and past students who were approved for student loan forgiveness, so this does particularly impact Pennsylvania more than maybe a few other states," Hamilton said.
While some borrowers invested or saved during the three-year pause in loan payments, Hamilton explains they will have to figure out how repayment will impact their budgets once again.
"That's been good for them, but it will put a strain on them now as they continue these $300, $400, $500 or more per-month payments."
Looking at the larger economy, Hamilton says people may hesitate to make those big-ticket purchases. He predicts many will continue with some spending habits.
"I think people will still go out to dinner, still go on vacation, things like that, but for the average person, they will have to think about their purchases a little bit more."
Above all, Hamilton says every student borrower will need to think about their long-term financial plans.
"Think about that long view, that long picture, and continue to save," Hamilton added. "And don't take risks with the money you know is going to have to go toward those loans."
Interest on student loan payments will pick back up on September 1, and payments resume in October, giving borrowers time to prepare.
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