Student Loan on Hold: What it Means and How to Do it

As the cost of higher education continues to rise, more and more students are turning to loans to help them cover the costs. But what happens when you can’t make your payments? In some cases, you may be able to put your student loan on hold. In this article, we’ll explore what it means to put your student loan on hold and how you can do it.

What is student loan forbearance?

When you put your student loan on hold, it’s referred to as a forbearance. Student loan forbearance is a temporary pause on your student loan payments. During the forbearance period, you don’t have to make any payments, but interest continues to accrue on your loan.

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What is student loan deferment?

Student loan deferment is another option for putting your student loan on hold. Similar to forbearance, you won’t have to make payments during the deferment period, but interest may or may not continue to accrue depending on the type of loan you have. Deferment is typically used when you’re still in school, during a period of unemployment, or during active military duty.

Who is eligible for student loan forbearance or deferment?

Eligibility for student loan forbearance or deferment depends on the type of loan you have and your individual circumstances. If you have a federal student loan, you may be eligible for forbearance or deferment if you’re experiencing financial hardship, serving in the military, or going back to school. Private lenders may also offer forbearance or deferment options, but they may not be as flexible as federal options.

How long can you put your student loan on hold?

The length of time you can put your student loan on hold depends on the type of forbearance or deferment you qualify for. For example, if you’re experiencing financial hardship, you may be able to request up to 12 months of forbearance. If you’re serving in the military or going back to school, you may be able to request longer periods of forbearance or deferment.

What are the benefits of putting your student loan on hold?

Putting your student loan on hold can provide temporary relief from the financial burden of student loan payments. This can be especially helpful during periods of unemployment, financial hardship, or other life events that make it difficult to make payments.

What are the drawbacks of putting your student loan on hold?

While putting your student loan on hold can provide short-term relief, it can also have long-term consequences. Interest will continue to accrue on your loan during the forbearance or deferment period, which means you’ll end up paying more in the long run. Additionally, if you have a private student loan, you may not be eligible for the same forbearance or deferment options as federal loan borrowers.

How to request student loan forbearance or deferment?

To request student loan forbearance or deferment, you’ll need to contact your loan servicer. If you have a federal student loan, you can request forbearance or deferment through your loan servicer’s website or by submitting a request form. Private lenders may have different procedures for requesting forbearance or deferment, so be sure to check with your lender directly.

Can you still make payments while your student loan is on hold?

Yes, you can still make payments on your student loan while it’s on hold. In fact, if you have the means to make payments during the forbearance or deferment period, it’s a good idea to do so. Making payments during this time can help you avoid additional interest charges and reduce the total cost of your loan.

What happens after your student loan hold period ends?

Once your student loan forbearance or deferment period ends, you’ll need to resume making your regular loan payments. Depending on the terms of your loan, your monthly payment amount may have changed due to the accrued interest during the hold period.

How to get help with your student loan repayment?

If you’re struggling to make your student loan payments, there are several options available to help you manage your debt. For federal loans, you may be eligible for income-driven repayment plans, loan forgiveness programs, or loan consolidation. Private lenders may also offer repayment assistance programs, so be sure to check with your lender for available options.

Are there any alternatives to putting your student loan on hold?

If you’re unable to make your student loan payments, there may be alternatives to putting your loan on hold. For example, you may be able to negotiate a lower monthly payment amount, or you may be eligible for a loan modification. Contacting your loan servicer to discuss your options is the best way to find a solution that works for you.

Conclusion

Putting your student loan on hold through forbearance or deferment can provide temporary relief from the financial burden of loan payments. However, it’s important to consider the long-term consequences of accruing interest and potentially increasing the cost of your loan. If you’re struggling to make your student loan payments, there are other options available to help you manage your debt.

icer. If you have a federal student loan, you can request forbearance or deferment through your loan servicer’s website or by submitting a request form. Private lenders may have different procedures for requesting forbearance or deferment, so be sure to check with your lender directly.

Can you still make payments while your student loan is on hold?

Yes, you can still make payments on your student loan while it’s on hold. In fact, if you have the means to make payments during the forbearance or deferment period, it’s a good idea to do so. Making payments during this time can help you avoid additional interest charges and reduce the total cost of your loan.

What happens after your student loan hold period ends?

Once your student loan forbearance or deferment period ends, you’ll need to resume making your regular loan payments. Depending on the terms of your loan, your monthly payment amount may have changed due to the accrued interest during the hold period.

How to get help with your student loan repayment?

If you’re struggling to make your student loan payments, there are several options available to help you manage your debt. For federal loans, you may be eligible for income-driven repayment plans, loan forgiveness programs, or loan consolidation. Private lenders may also offer repayment assistance programs, so be sure to check with your lender for available options.

Are there any alternatives to putting your student loan on hold?

If you’re unable to make your student loan payments, there may be alternatives to putting your loan on hold. For example, you may be able to negotiate a lower monthly payment amount, or you may be eligible for a loan modification. Contacting your loan servicer to discuss your options is the best way to find a solution that works for you.

Conclusion

Putting your student loan on hold through forbearance or deferment can provide temporary relief from the financial burden of loan payments. However, it’s important to consider the long-term consequences of accruing interest and potentially increasing the cost of your loan. If you’re struggling to make your student loan payments, there are other options available to help you manage your debt.

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