Can I defer or forbear my Direct Loan payments?

Yes, borrowers of Direct Loans have the option to defer or forbear their loan payments. Deferment allows borrowers to temporarily postpone their loan payments, typically due to enrollment in school, military service, or economic hardship. During deferment, interest may or may not accrue depending on the loan type. Forbearance, on the other hand, also provides temporary relief by allowing borrowers to reduce or temporarily pause their loan payments due to financial difficulties. However, interest will continue to accrue during forbearance, regardless of the loan type. Both deferment and forbearance options require a formal application process and eligibility criteria. It is important for borrowers to communicate with their loan servicer to discuss these options and determine the most suitable solution for their specific circumstances.