A Guide To Federal Student Loan Deferment

Federal student loans offer financial help to students who are enrolled at the schools that is a participant of federal aid program. School refers to a two or four year private or public college, trade school or university. These loans are offered by the private organizations through FDLP (Federal Direct Student Loan Program) under accordance from US Department of Education through (FFELP) Federal Family Education Loan Program.

Deferment is a time frame in which the repayment of principal balance is postponed. If the student loan is subsidized during the deferment, the government pays the interest charged.

There are many circumstances under which the current and former students can qualify for the federal student loan deferment, and the deferment options may vary as per the kind of loan that has been taken by the student. It is important to know that deferment does not lock in the interest rates. Hence, while your federal student loan is deferred, the variable rates continues, unless consolidate loan is being deferred.

Conditions For Federal Student Loan Deferment

Principal and the interest of the loan may be deferred while borrower is unemployed up to three years, attending school at least halftime, experiencing economic hardships, or studying in an approved rehabilitation program or graduate fellowship for the disabled.

There are also federal student loan deferment options that are based on parent borrower’s ability. Federal student loan deferment may be given for principal and interest payments when the parent borrower is unemployed for up to three years, attending school at least halftime, experiencing economic hardships or studying in a rehabilitation program for disabled.

It is also possible to get military deferment if you are performing qualifying National Guard duty during the war or national emergency, or other military operation or are on active military duty.

Federal student loan deferment is also applicable while borrower has been enrolled up to maximum 48months. Additional federal student loan deferments are available as per program of study, grade level and the loan program.

Temporary total disability deferment request can be filed if a student is unable to work or earn or go to school for at least 60 days to recover from an illness or for taking care of a dependent with injury or illness.

Where To Get Federal Student Loan Deferment Form

The federal student loan deferment forms and other federal student loan information can be downloaded as needed from the Internet, and these are available in English and Spanish. OMB (White House Office of Management) has authorized the use of Spanish language deferment forms.