Deferment Question

How easily is it, typically, to get deferment based on economic hardship? I'm no longer a dependent but I'm making virtually nothing right now (paid internship...yawn...), and even at the lowest sliding scale the monthly payments on my consolidated loans are, well, a hefty percentage of my monthly paycheck after taxes. I don't expect this to last forever but if I call up my consolidation company to ask for deferment is there any ammo you guys could offer?

Depending on your loan terms, you can qualify to defer loans for economic hardship. I would call your lender and discuss with them. They can be pretty flexible.

If you don't qualify for a deferment, you can most likely claim forbearance for a set period of time. The difference here is you will still accrue interest as your loan repayment is temporarily suspended. When you defer your loans, interest is withheld.

The difference here is you will still accrue interest as your loan repayment is temporarily suspended. When you defer your loans, interest is withheld.

But what type of loan is it? Private loans are going to accrue interest no matter what. I wouldn't want to go into forbearance. You can probably get it to interest only or they may defer it for a continued amount of time, but I doubt that it will not accrue interest during that period.

Tim
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