You have basically two options if you are considering options that will help you stop repayment of your Perkins loan for the immediate short term. Do note that both options are temporary in nature. The two options are deferment of your Perkins Loan and forbearance of your Perkins Loan. You can receive a forbearance or deferment on your Perkins loan under certain conditions. If you are granted a deferment you can stop your loan payments with no accrual of interest or penalties. The process to apply for a deferment is through your school’s financial aid office. Do note to apply for a deferment in time or you might be hit with late charges.
Your second option if you are not approved for a deferment of your Perkins loan is to apply for a forbearance of your loan for a short period of time. During a forbearance your loan payments are reduced or postponed or in some cases your loan period is increased. Your loan interests however continues to accrue and you will be responsible to repay your accrued interests.
Obviously deferment of your Perkins Loan is a better option that forbearance but if push comes to shove a forbearance is always welcome. Now a Forbearance of your loan is not automatic either. The period of forbearance could vary anywhere between 12 months to 3 years. The process of applying for a forbearance is again through your school’s financial aid office. Do note that you have to have a valid reason to apply for forbearance and you will need to show documentation in your application.
Lastly, do continue to make scheduled loan repayments until you are informed that your deferment or forbearance has been approved. Just by applying does not mean you stop your loan repayments.
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