PLUS LOAN DEFERMENT

If you need to defer your PLUS loan, you can do so as long as you have not gone into default yet. Consolidate student loans in order to receive the lowest interest rate possible and begin making payments. If, after a few months, the burden of making payments becomes too much, you can ask for a deferment for up to three years. You will need to cite why you are asking for the deferment. Loss of a job, disability, or other economic hardship are all reasons for deferment.

Since PLUS loans are unsubsidized student loans, you will be responsible for paying the interest that will accrue during your deferment time. Consolidate student loans in order to pay the least amount of interest in case you have to defer down the road. Once you feel comfortable making payments, you should inform your lender, who will change your loan’s status. When you consolidate student loans, you are not only trying to save as much money as possible each month, you are safe guarding your assets and financial security in case you will have to defer. This is a smart move for those who have other children and who need to have enough money to pay the bills each month.