Repaying student loans isn’t always easy-and sometimes, life throws in a few curveballs . In a 2025 College Ave survey, 62% of current college students who borrowed to pay for college were stressed about their student loan debt. If you’re facing challenges repaying your student loans, you may be eligible for something called forbearance.
Before we explain how you can take advantage of this short-term relief, let’s answer an important question: What does forbearance mean for student loans? Student loan forbearance is the postponement or lowering of your payments for a set period of time. Pausing or lowering your payments can help you weather short-term challenges, but you’re usually going to pay more in the long run as a result.
What are the Eligibility Requirements for Forbearance?
The eligibility criteria for forbearance is generally broad, but the amount of time the loan can stay in forbearance varies.
Forbearance usually covers the following scenarios:
- Temporary unemployment: If you lose your job or experience a break in employment, forbearance can offer immediate relief. This option helps when you’re actively seeking new employment but are unable to meet your loan obligations. It provides a temporary pause on your payments while you stabilize your finances and secure new employment.
- Temporary medical disability: If you’re facing a medical condition or injury that impacts your ability to work, forbearance can be a helpful option. Whether you’re undergoing treatment, recovering from surgery, or dealing with a short-term disability, this relief allows you to focus on your health without the stress of making monthly loan payments.
- Temporary financial hardship: If you encounter unexpected financial difficulties, such as a reduction in income, a significant emergency expense, or other unforeseen financial burdens, forbearance can provide a break from student loan payments. This relief can be crucial if your financial situation has temporarily worsened but you expect to recover in the near future, allowing you to avoid delinquency or default during this challenging time.
Types of Forbearance for Federal Loans
The College Ave survey found that 41% of undergraduate students are using federal student loans to pay for college. There are two types of forbearance for federal student loans: general and mandatory. General forbearance, also sometimes known as discretionary, can be approved or denied by the servicer. Mandatory forbearance cannot be denied by the servicer if you meet the criteria.
General Forbearance for Federal Loans
You can request a general forbearance if you can’t pay your federal student loans because of temporary financial, medical, or employment reasons. General forbearances are available for Federal Direct Loans, FFEL Program loans, and Perkins Loans and can last for up to 12 months at a time. The typical total limit on general forbearance is three years.
Mandatory Forbearance for Federal Loans
Mandatory forbearance for federal loans means your servicer must accept your application if you fit the criteria and is granted for up to 12 months at a time. You can request an extension if you still qualify after 12 months. Below are the examples of eligibility scenarios for mandatory forbearance according to the Federal Student Aid. For complete eligibility criteria, visit Federal Student Aid.
- AmeriCorps
- Department of Defense Student Loan Repayment Program
- Medical or Dental Internship or Residency
- National Guard Duty
- Student Loan Debt Burden
- Teacher Loan Forgiveness
Forbearance for Private Loans
Each private lender will decide if and the duration they offer forbearance. As an example, College Ave may offer hardship forbearance, usually in three- or six-month increments depending on the situation.
The specific terms and conditions, including eligibility requirements, likely vary by lender, so it’s important to contact your loan servicer directly to discuss your options. Some lenders may require documentation to verify your financial hardship, and it’s important to understand how forbearance will impact your loan balance, as interest will continue to accrue during this period.
The Cost Forbearance
So, what does forbearance mean for student loans? We’ve learned that it means temporary loan payment relief- While your loans are in deferment or forbearance, you’re not required to make payments. But what is the catch? Most federal student loans and private student loans continue accruing interest during deferment and forbearance, so the total amount you owe is increasing while you’re not making payments.
For Direct Loans, interest no longer capitalizes during forbearance as of July 1, 2023, but for older FFEL or Perkins loans, interest still capitalizes, leading to a larger loan balance. This means, even though you’re not making payments, your loan balance is growing overall.
Some students opt to pay just the interest during forbearance to avoid capitalized interest and the increased cost. If putting your loan in forbearance makes sense for your financial situation, it’s a good idea to pay as much of the accrued interest as possible before the end of the forbearance period. That will help you get the temporary monthly payment flexibility you need while keeping your total costs down.
How to Apply for Student Loan Forbearance
To apply for forbearance, contact your student loan servicers. If you have several federal and/or private student loans, you may have several different servicers as well, so you will need to reach out to each one individually. The servicers may ask you to submit a form, and in some cases, you may also need to show proof that you meet the eligibility criteria.
At College Ave, we understand that student loans can be overwhelming. If you’re looking for more tips and answers to your student loan questions, check out our Guides & Articles!
Read More: How Does Student Loan Interest Work?
About the Survey
The College Ave survey was conducted by Barnes & Noble College InsightsTM. The national online survey of undergraduate students who attend a 4-year college or university at one of the campuses served by Barnes & Noble College had 1,060 respondents and was fielded in February – March 2025.
