Deferments

A deferment is a period of time during which your loan holder suspends your regular loan payments.
Depending on the type of loan you have, the government may pay the interest for you (called a federal interest subsidy) during deferment periods.
- If you do not qualify for an interest subsidy, your loan will increase by the amount of unpaid interest that accrues during the period you are not making payments.
- Whenever possible, make payments toward the interest, even when payments are not required. Making payments toward accrued interest will minimize the growth of your loan balance.
Deferments are granted for specific situations and have certain time limitations and conditions for eligibility. Common deferments:

Enrollment in school
Study in a graduate fellowship program
Rehabilitation training program for disabled individuals
Unemployment
Economic hardship
Military service

Deferment programs

Depending upon when you receive your loan, you may be eligible for other types of deferments. To review your deferment options, choose a deferment eligibility chart based on your loan type and when your oldest outstanding loan of that type was first disbursed:

Federal Family Education Loan Program (Federal Stafford (subsidized and unsubsidized), PLUS (Parent Loans for Undergraduate Students), SLS (Supplemental Loan for Students) and Federal Consolidation Loans):

Federal Perkins Loans:

Applying for a deferment

You must apply for a deferment.

Keep a copy of your deferment application.
Do not stop making payments until you have official notification that your request for a deferment is approved.

Another option

If you're not eligible for a deferment, consider forbearance, another way to temporarily lower or postpone your payments. Your loan holder may grant forbearance if you are willing but temporarily unable to make full or partial payments and do not qualify for a deferment.