The U.S. Department of Education clarified that a recent memo calling for a pause in federal spending does not affect federal student loans or Pell grants. These funds will continue uninterrupted, despite some confusion stemming from the memo's language regarding assistance. The department reassured that financial assistance directly impacting students will not be delayed, and funding for programs like federal work-study will also persist. Advocacy groups have expressed concern over the panic the memo caused among students awaiting essential aid for their education.
The memo generated a lot of fear and chaos for students and their families because it came at a time when many of them were waiting for their federal loans.
Part of the confusion sprang from the Office of Management and Budget memo's mention of assistance received directly, leading many to misunderstand its implications for federal education funds.
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