Can I Defer My Student Loan Payments?

Student loan deferment allows federal student loan borrowers to temporarily pause payments without penalty. While not a permanent solution, it provides financial relief during specific circumstances, helping borrowers manage repayment obligations when facing qualifying life events or pursuing further education.

Understanding Deferment Eligibility

Several circumstances may qualify federal student loan borrowers for deferment. One common type is In-School Deferment, which applies if you are enrolled at least half-time at an eligible college or career school. In many cases, this deferment is applied automatically as your school reports your enrollment status, but you may need to contact your school or loan servicer if it does not appear.

Unemployment Deferment is available for those experiencing job loss. To qualify, you must either be receiving unemployment benefits or be actively seeking full-time employment (at least 30 hours per week in a position expected to last for a minimum of three months). This deferment can be granted for up to three years, and you may need to certify that you are registered with an employment agency.

Economic Hardship Deferment can provide relief for up to three years if you face significant financial challenges. Eligibility often includes receiving means-tested government benefits, such as welfare or Supplemental Security Income (SSI), or serving as a Peace Corps volunteer. You may also qualify if you are working full-time but your income falls below 150% of the federal poverty guideline for your family size and state of residence.

For service members, Military Service Deferment is an option during periods of active duty in connection with a war, military operation, or national emergency. This deferment can also extend for 13 months following the completion of your active duty service. Documentation includes copies of your military orders or a statement from a commanding officer.

Other deferment types address specific educational or health-related situations. A Graduate Fellowship Deferment is available if you are enrolled in an approved graduate fellowship program. Rehabilitation Training Deferment applies if you are participating in an approved program for vocational, drug abuse, mental health, or alcohol abuse treatment.

Cancer Treatment Deferment allows a pause in payments for individuals undergoing cancer treatment and for six months following the end of treatment. Eligibility for this deferment requires certification from your physician. A Parent PLUS Borrower Deferment is also available if the student for whom the loan was taken is enrolled at least half-time.

Preparing Your Deferment Request

Once you have identified the appropriate deferment type for your situation, the next step involves preparing your request by gathering all necessary information and completing the required forms. Loan servicers provide specific deferment application forms that correspond to each type of deferment. These forms are accessible directly on your loan servicer’s official website or through the Federal Student Aid website.

Carefully review the form to understand all required fields and ensure accuracy, as any missing or incorrect details could delay processing. You will need to provide personal identifying information, your loan account numbers, and specific dates relevant to your deferment reason. For instance, an Unemployment Deferment form will ask for details about your job search efforts or unemployment benefit receipt dates, while an In-School Deferment form will require your school’s name and enrollment dates.

Collecting supporting documentation is essential. This documentation serves as evidence of your eligibility for the requested deferment. Depending on the deferment type, this could include official enrollment verification from your academic institution, statements confirming receipt of unemployment benefits, or copies of your most recently filed federal income tax returns or recent pay stubs to demonstrate income. For medical or military deferments, official medical certifications from a doctor or copies of military orders are required. Ensure that all documents are legible and meet any specified format requirements, such as whether originals or copies are needed.

Submitting Your Deferment Request

After thoroughly preparing your deferment application and gathering all supporting documents, the final step involves officially submitting your request to your loan servicer. Several submission methods are available. Choosing a method that provides proof of delivery is recommended. Mailing your completed application package, which includes both the forms and your supporting documents, is a common option. When mailing, consider using certified mail or a service that provides tracking to confirm receipt by your loan servicer.

Many loan servicers offer online portals for direct upload, which can expedite processing and provide immediate confirmation. Faxing documents is another option; obtain a confirmation page for your records.

Upon submission, your loan servicer will begin processing your request. Processing times vary, from a few days to several weeks, depending on the servicer’s workload and application complexity. Continue making payments until you receive explicit notification that your deferment has been approved to avoid delinquency. Your servicer will notify you of their decision regarding your deferment request, and they may reach out for additional information or clarification if needed.