Youve seen the headlines: Stop paying your student loans!
But can you really?
Benefits include a suspension of payments and 0% interest.
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So should you accept the forbearance?
What if you have other loans is there any relief from paying those?
Well take a look at options for each of your loans and repayment programs.
Can Student Loan Forbearance Help You?
Lets start with the facts: Federally heldstudent loans are in forbearanceuntil at least Aug. 31, 2022.
You dont need to decide whether you should ask for a forbearance its automatic.
Our team has compiled alist of creative waysyou can fatten your bank account this week.
This is a long list, so dont get overwhelmed.
Well keep it updated as offers changes or expire.
Do You Have Federally Held Student Loans on a Standard Repayment Plan?
If youre trying to minimize your payments as much as possible, dont pay.
So weigh that option carefully.
Are Your Federally Held Student Loans on an Income-Driven Repayment Plan?
If you are on anincome-driven repayment plan, pay nothing during forbearance.
(Whew, for once!)
And those non-payments still count toward the total number of required installments to qualify for forgiveness.
That way, when the forbearance period ends, you might start making the lower payments.
Are You Working Toward Public Service Loan Forgiveness?
Those zero-dollar payments still count toward your total to earn forgiveness.
Unless you go back to a public service job, your loans will not be eligible for PSLF.
Are Paying Off Privately Held Loans?
And the interest rate on your consolidated loan could end up being higher than your current loan.
But with the caveat that youre losing whatever was accrued toward any potential forgiveness.
Do You Have Multiple Student Loans?
Ever heard the phrase rob Peter to pay Paul?
Tiffany Wendeln Connors is a staff writer/editor at The Penny Hoarder.
Readher bio and other work here, then catch her on Twitter @TiffanyWendeln.
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