Student Loan Question

I filed for a request for a forbearance which granted me temporary relief of paying back my student loans. Interest that accrues during the forbearance remains my responsibility. Unpaid interest may be capitalized (added to my loan principal) Capitalizing interest will increase the amount I will have to pay back.

The forbearance was to be till August. In August I would just pick up where I left off on my monthly payment. I just got a letter since I am out of work that they can extend my forbearance for 12 months.

Has anyone ever done this? what was the good and bad of doing it?

Thanks

edited to add: If you want to FM me that is fine

Re: Student Loan Question

I think it is a good thing in that if you do not have the money you can pay when you do and the student loan payment money can be saved. The bad point is that it will take you longer to pay and the interest that you have to pay back is higher. If you can, I would start to pay it back.

Re: Student Loan Question

Check FM.

Re: Student Loan Question

I am convinced my grandchildren will be going to college and I'll still be paying my student loans.

Becky: no FM in my mailbox

Re: Student Loan Question

Becky- can you FM me too! I have questions on this as well!!

Re: Student Loan Question

Thank you so much Becky

Re: Student Loan Question

I am also one of those people who will be paying back student loans forever and forever and forever.
I have done those forbarences before, during the times when working was not as profitable as it is now It really adds up on your loan but when you are not working it is hard to pay those loans. I suggest you try to send some money towards your loans when you can but use the deferment when you are out of work so your credit isn't effected if you cannot pay it one month.

Re: Student Loan Question

Thank you Michele.

Re: Student Loan Question

Chippa - I totally jumped the gun. I told you to check FM before I sent it. Duh

Re: Student Loan Question

LOL
no problem. got the FM's

Re: Student Loan Question

Yes...it's true. I have law school loans out the A$# and baically you can defer for up to 3 years at a time. But you could qualify for something else which is financial hardship if you are out of work and your interest should not accrue.

Call the loan people and ask them. Anyone can defer for no reason but you have to qualify for financial hardship and you should if you are out of work.

Hope this helps.

Re: Student Loan Question

Thanks. My student loan people have been so nice. I used to pay them on time and even a little more every month. So to not be able to pay them they figured something was wrong. I thought they would be big meanies, but they have been really sweet

Thanks. Its been a lot of help

Re: Student Loan Question

I am in year 8 of repayment on a 10-year repay back. In the early years when I made diddly, I didn't request a forebearance, however, the loan company (Sallie Mae) did work with me in a sense that I could pay any percentage of my income. I chose to pay anywhere from 3-5 % of my income and I had to send them a copy of my paycheck. That way I was paying a little each month without going into more debt.