Forbearance lets you stop or reduce federal student loan payments for up to three years when you face a temporary financial hardship, but you must meet specific conditions and request it before you fall behind.

Forbearance is not automatic. You have to contact your loan servicer and explain your situation. The servicer then decides whether your circumstances fit the rules for forbearance. If approved, you get a formal pause on payments — but interest usually keeps accruing, which means your balance grows even though you are not paying.

There are two types of forbearance: discretionary forbearance, which your servicer can grant based on hardship, and mandatory forbearance, which they must grant if you meet certain conditions. Mandatory forbearance is easier to obtain because the servicer has no choice — if you may have access to, they approve it. Discretionary forbearance depends on the servicer's judgment of your situation.

Key Takeaways

  • You must request forbearance from your loan servicer before your payment is due; it does not happen on its own even if you are struggling.
  • Mandatory forbearance covers specific situations like medical or dental residency, teaching in low-income schools, or serving in the Peace Corps, and the servicer must approve it if you meet the criteria.
  • Discretionary forbearance is for temporary hardships like job loss or medical bills, but approval depends on your servicer's assessment and is not may provide.
  • Interest continues to accrue during forbearance on most federal loans, so your balance grows even when you are not making payments.
  • Forbearance can last up to three years total, but you can request it in increments and must reapply when each period ends.

Mandatory forbearance: situations where the servicer must approve

Mandatory forbearance applies to specific professions and circumstances. If you are serving in the Peace Corps, AmeriCorps, or the armed forces, you may have access to. If you are enrolled in a medical or dental residency program, or if you are teaching full-time in a low-income school and hold a teaching credential, you also may have access to. Some loan servicers add other criteria, so check with yours about whether your situation meets their list.

You still have to request it — the servicer will not grant it without your application — but once you provide proof of your status (such as a Peace Corps letter, military orders, or a school employment contract), the servicer must approve it. This is the most straightforward path to forbearance because there is no judgment call involved.

Discretionary forbearance: temporary hardships the servicer may approve

Discretionary forbearance covers situations where you face a genuine but temporary financial problem. Common examples include job loss, a significant reduction in income, medical or dental expenses, or a natural disaster. The servicer reviews your request and decides whether your hardship is serious enough to warrant a pause on payments.

The catch is that "serious enough" is not defined by federal law — it is up to each servicer. Two servicers might handle the same situation differently. Some are more generous; others are stricter. This means your request might be approved by one servicer and denied by another, even if your circumstances are identical. You have the right to request it, but approval is not may provide.

When you request discretionary forbearance, be specific about your hardship and how long you expect it to last. Provide documentation if you have it — a layoff notice, medical bills, or proof of reduced hours. The more detail you give, the easier it is for the servicer to make a decision.

How interest works during forbearance

On most federal student loans, interest accrues during forbearance. This means your loan balance grows even though you are not making payments. If you owe $30,000 and your interest rate is 5 percent, you will owe roughly $1,500 more after one year of forbearance — without making a single payment.

The exception is subsidized loans. On Direct Subsidized Loans and Federal Family Education Loans (FFEL) Subsidized Loans, the government pays the interest during forbearance, so your balance does not grow. On all other federal loans — unsubsidized, PLUS, and Grad PLUS — interest accrues and is added to your principal.

If you can afford to pay interest during forbearance, doing so prevents your balance from ballooning. Even small payments toward interest keep the loan from growing. Ask your servicer whether you can make interest-only payments during forbearance.

The length and limits of forbearance

Forbearance can last up to three years total, but it is not a single three-year pause. Instead, you request it in increments — usually six months to one year at a time — and must reapply when each period ends. Your servicer will tell you how long they are granting forbearance for when they approve your request.

If your hardship continues past the first period, you can request another period of forbearance. You are not limited to one request, but you cannot exceed three years total across your lifetime for that loan. Once you hit three years, you cannot use forbearance again on that loan.

Keep track of how much forbearance time you have used. If you have already used two years, your next request will only be approved for one year. After that, forbearance is no longer an option for that loan.

How to request forbearance from your servicer

Contact your loan servicer directly — do not wait for them to contact you. You can find your servicer's name and contact information on your loan documents or by logging into studentaid.gov and checking your loan summary. Call the servicer's customer service line or use their online portal to request forbearance.

Have the following information ready: your loan account number, the reason for your hardship, and how long you expect the hardship to last. If you are requesting mandatory forbearance, have your proof of status (military orders, Peace Corps letter, residency documentation, or school employment contract) ready to submit.

For discretionary forbearance, the servicer may ask you to fill out a form or provide documentation of your hardship. Some servicers allow you to request forbearance online; others require a phone call or a mailed form. Ask what the fastest method is for your servicer.

What happens when forbearance ends

When your forbearance period ends, your regular payment resumes. If you have not made payments during forbearance, you will owe the full monthly amount again. If your financial situation has not improved, you have a few options: request another period of forbearance (if you have time remaining), explore income-driven repayment plans, or contact your servicer about other options.

Do not ignore your loan when forbearance ends. If you cannot afford the payment, contact your servicer before the payment is due. Falling behind after forbearance ends can damage your credit and lead to default, which has serious consequences including wage garnishment and loss of federal aid may be able to access.

Forbearance versus deferment: which is different

Forbearance and deferment are often confused because both pause your payments, but they work differently. With deferment, interest does not accrue on subsidized loans (though it does on unsubsidized loans). With forbearance, interest accrues on almost all loans. Deferment is also harder to obtain — it is usually limited to specific situations like being in school or being unemployed and actively seeking work.

Forbearance is more flexible because it covers a wider range of hardships and is easier to request. If you are facing a temporary financial problem, forbearance is usually the faster path. If you are in school or unemployed and looking for work, deferment might be an option worth exploring with your servicer.

Frequently Asked Questions

Will forbearance hurt my credit score?

Forbearance itself does not hurt your credit if you request it before you miss a payment. Your servicer reports the account as "in forbearance" rather than delinquent. However, if you miss payments before requesting forbearance, those missed payments will damage your credit. Request forbearance before your payment is due to avoid this.

Can I request forbearance if I am already behind on payments?

You can request it, but it is harder to obtain. If you are already delinquent, the servicer may require you to bring the account current first or may deny discretionary forbearance. Mandatory forbearance is still an option if you meet the criteria. Contact your servicer immediately if you are behind — the sooner you request forbearance, the better your chances.

What if my forbearance request is denied?

Ask the servicer why it was denied and what other options are available. Income-driven repayment plans, deferment, or a temporary payment reduction might work for your situation. You can also request forbearance again if your circumstances change or if you have new documentation to provide.

Do I have to pay interest during forbearance?

Interest accrues on most federal loans during forbearance, but you are not required to pay it while forbearance is active. However, if you can afford to pay interest, doing so keeps your balance from growing. Ask your servicer if you can make interest-only payments during forbearance.

Can I use forbearance multiple times?

Yes, you can request forbearance multiple times as long as you have not used three years total on that loan. Each request is separate, and you must reapply when one period ends. Track how much forbearance time you have used so you know when you are approaching the three-year limit.