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close video Federal student loan repayments will restart, Education Secretary Miguel Cardona reveals

The Education Department is “preparing to restart” federal student loan debt repayments after a three-year pause now that the COVID-19 pandemic emergency has ended, Secretary Miguel Cardona told lawmakers on Thursday.

The Education Department is "preparing to restart" federal student loan debt repayments after a three-year pause now that the COVID-19 pandemic emergency has ended, Secretary Miguel Cardona told lawmakers this week.

Cardona revealed the administration's intentions at a Senate Appropriations Committee hearing on Thursday, when Sen. Katie Britt, R-Ala., asked him why the government should forgive student loan borrowers when President Biden is demanding that Congress pay its debt obligations in arguments with Republicans over the debt limit.  

Britt, a first-term senator, cited remarks about the federal debt made Monday by White House press secretary Karine Jean-Pierre and asked if Cardona agreed. 

"If you buy a car, you are expected to pay the monthly payments. If you buy a home, you are expected to pay the mortgage every month. That is the expectation," Jean-Pierre said. 

BIDEN ASKS STUDENT LOAN COMPANIES TO PREPARE FOR END TO PAYMENT PAUSE

Education Secretary Miguel Cardona testifies during the House Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies hearing on the “FY2024 Request for the United States Department of Education,” in Rayburn B (Williams/CQ-Roll Call, Inc via Getty Images / Getty Images)

Cardona said he agreed with the White House. Britt then said, "that same logic must apply to student loans.

"We agree, and we're preparing to restart repayment because the emergency period is over, and we're preparing our borrowers to restart," Cardona responded.

He added that the HEROES Act, which the Biden administration has controversially argued empowers the secretary of education to reduce or eliminate federal student loan debt obligations, "provides me the opportunity to create a waiver for those who are impacted significantly by the pandemic — very similar to small businesses the year before, where Congress provided a little bit of support."

Cardona did not provide Congess with a specific timeline for the administration's plan when asked.

STUDENT LOAN REFINANCE INTEREST RATES EDGE DOWN FOR 5-YEAR LOANS ONLY

President Joe Biden speaks about student loan debt forgiveness in the Roosevelt Room of the White House on Aug. 24 in Washington. (AP/Evan Vucci / AP Images)

Politico reported earlier this month that the Department of Education issued guidance to student loan companies last November about collecting federal student loan payments once payments resume sometime in October this year. 

Student loan servicers are reportedly required to alert borrowers of payment resumption after Aug. 31. 

Federal student loan payments were paused and interest rates reduced to 0% in March 2020, when President Donald Trump signed the CARES Act in response to the COVID-19 pandemic. The student loan pause has since been extended multiple times by the Biden administration.

Biden, who is running for re-election, has proposed forgiving up to $10,000 in federal student loan debt and up to $20,000 for those who received Pell Grants — a plan that is currently being challenged in court. If Biden is permitted to carry out his plan, he could eliminate a total of $441 billion in student debt from more than 40 million borrowers, according to the Federal Reserve Bank of New York.

SUPREME COURT ALLOWS $6 BILLION IN PAYMENTS TO CONTINUE IN STUDENT LOAN RELIEF CASE

Members of the public walk by as student loan debt holders take part in a demonstration outside the White House staff entrance to demand that President Biden cancel student loan debt July 27, 2022, at the Executive Offices in Washington, D.C. (Jemal Countess/Getty Images for We, The 45 Million / Getty Images)

Students study in the Rice University Library on Aug. 29, 2022, in Houston. (Brandon Bell/Getty Images / Getty Images)

Federal student loan debt stands at $1.635 trillion and is carried by more than 43.8 million borrowers, according to EducationData.org. Should the Supreme Court give Biden the green light for relief, those eligible would need to have individual incomes of less than $125,000 or $250,000 if they’re married couples.

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The White House announced last November that federal student loan payments would resume 60 days after the Education Department is allowed to initiate its student loan forgiveness plan or after Supreme Court litigation is resolved – whichever comes first.

FOX Business' Javier Simon contributed to this report.

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Entertainment

Oscars set to leave ABC and will be streamed live on YouTube from 2029

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Oscars set to leave ABC and will be streamed live on YouTube from 2029

The Oscars will be streamed live on YouTube from 2029 after being broadcast on the ABC network for decades.

It means the annual film awards will be available to the video-sharing platform’s two billion users for free around the world in four years.

The Academy of Motion Picture Arts and Sciences announced the deal with Google-owned YouTube on Wednesday, saying the streaming giant will have the exclusive global rights to the Hollywood awards from 2029 to 2033.

YouTube will effectively be the home to all things Oscars, including red-carpet coverage, the Governors Awards and the Oscar nominations announcement.

The Academy Awards ceremony has been broadcast by ABC for most of its history, but 2028 will be its last year showing the Oscars as they celebrate their 100th anniversary.

“The Oscars, including red carpet coverage, behind-the-scenes content, Governors Ball access, and more, will be available live and for free to over two billion viewers around the world on YouTube, and to YouTube TV subscribers in the United States,” an announcement on the Academy Awards’ website read.

“We are thrilled to enter into a multifaceted global partnership with YouTube to be the future home of the Oscars and our year-round academy programming,” said academy chief executive Bill Kramer and academy president Lynette Howell Taylor.

More on Oscars

They said the new partnership with the platform “will allow us to expand access to the work of the academy to the largest worldwide audience possible”.

File pic: Reuters
Image:
File pic: Reuters

‘Inspiring new generation of creativity and film lovers’

“The Oscars are one of our essential cultural institutions, honouring excellence in storytelling and artistry,” said YouTube chief executive Neal Mohan.

“Partnering with the academy to bring this celebration of art and entertainment to viewers all over the world will inspire a new generation of creativity and film lovers while staying true to the Oscars’ storied legacy.”

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The awards will be available with audio tracks in many languages, in addition to closed captioning.

Last year’s Academy Awards were watched by 19.7 million viewers on the Disney-owned ABC, a five-year high but far below the show’s biggest audience of 57 million in 1998.

The network has been the broadcast home to the Oscars for almost its entire history. NBC first televised the Oscars in 1953, but ABC picked up the rights in 1961.

Aside from a period between 1971 and 1975, when NBC again aired the show, the Oscars have been on ABC.

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King meets Huntingdon train attack heroes, including guard who protected passengers

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King meets Huntingdon train attack heroes, including guard who protected passengers

The King has met survivors of last month’s Huntingdon train mass stabbing, during a special reception at Buckingham Palace.

He shook hands with train guard Samir Zitouni, who was seriously injured as he stepped in to protect passengers.

More than 10 people were hurt in the stabbing on the 6.25pm LNER service from Doncaster to London King’s Cross on 1 November, which diverted to Huntingdon.

The King greets the train's driver, Andrew Johnson. Pic: PA
Image:
The King greets the train’s driver, Andrew Johnson. Pic: PA

The monarch also met Andrew Johnson, who previously served in the Royal Navy, and was driving the service at the time of the attack.

He was praised by Prime Minister Sir Keir Starmer for his quick thinking when he moved the train on to a slow line.

That decision allowed it to stop at Huntingdon station, leading to a quicker response time by emergency services and potentially saving lives.


Sky’s Rachael Venables breaks down how the stabbing unfolded.

Mr Zitouni was credited with saving multiple lives, but was left in a critical condition due to injuries he suffered in the attack.

More on Huntingdon Train Stabbing

Stephen Crean, a football fan who had been returning home after watching Nottingham Forest’s 2-2 draw with Manchester United, was also injured while fighting back to protect others during the incident.

Mr Crean said he would need plastic surgery following his injuries.

The monarch greets Stephen Crean and his wife Monludee Crean during the reception. Pic: PA
Image:
The monarch greets Stephen Crean and his wife Monludee Crean during the reception. Pic: PA

Amira Ostalski, a student who suddenly found herself in danger, said she ran into the buffet car where she picked up a metal tray to protect herself and her friend.

“I was honestly so petrified. I thought in that moment it was the last time I was ever going to be alive. I thought I was going to die,” she said.

Anthony Williams was charged with 10 counts of attempted murder, one count of actual bodily harm and one count of possession of a bladed article following the train attack.

He remains in custody pending further court hearings scheduled for next year.

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Technology

Instacart shares drop on report that FTC is probing company over AI pricing tool

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Instacart shares drop on report that FTC is probing company over AI pricing tool

Cheng Xin | Getty Images

Shares of grocery delivery service Instacart dropped about 7% in extended trading on Wednesday, following a report that said the U.S. Federal Trade Commission has begun an investigation into the company’s pricing practices.

The FTC sent a civil investigative demand to Instacart, Reuters reported, citing unnamed people.

A study released last week showed that prices for the same products in the same supermarkets that work with Instacart can vary by around 7%, which can result in over $1,000 in extra annual costs for customers. Instacart responded by saying that retailers determine prices listed in the app.

In 2022, Instacart spent $59 million to acquire Eversight, a company specializing in artificial intelligence-driven pricing and promotions for retailers and consumer packaged goods. Instacart sought to “create compelling savings opportunities for customers in real-time” with Eversight, according to a regulatory filing.

The FTC and Instacart did not immediately respond to requests for comment.

Read Reuters’ full report here.

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