2017
What You Need to Know About Student Loan Deferment
Student Loan Lawyer / 0 Comments /
After taking out federal student loans, most people plan to graduate from school, find a well-paying job and repay their loans. Unfortunately, things don’t always go as planned. Between job loss and unexpected expenses, paying off student loans can become difficult and at times even feel impossible. If you’re unable to pay your monthly bill, it may be helpful to learn why deferment is an important aspect of student loans.
What is Deferment?
A student loan deferment is a period of time in which you are permitted to either temporarily stop paying or pay a reduced amount of your monthly federal student loan bill. Deferment is an important aspect of student loans because successfully deferring your loans can keep you from going into default. It’s important to note that deferments and forbearances have one significant difference: deferments may not require that you pay back accrued interest during the deferment, whereas you still have to pay accrued interest at the end of a forbearance.
Am I Eligible for Deferment?
There are several situations in which you may be eligible for deferment. According to the Federal Student Aid Office, you may want to apply for deferment if you are:
- Participating in a graduate fellowship program
- Enrolled at least half-time at an eligible college or career school
- A parent who has a Parent PLUS loan whose child is enrolled at least half-time at an eligible college or career school
- Attending a rehabilitation program for drugs, alcohol or mental illness
- Unemployed or unable to find full-time employment
- Experiencing economic hardship
- Serving in the Peace Corps
- On active duty military service
If you think one or more of these describe your current situation, one of our attorneys may be able to help you get a deferment on your student loans.
Take the Next Step
To learn more about why deferment is an important aspect of student loans and how an attorney may be able to help you, call our offices at (215) 307-3939.
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