What Deferments are available for a Federal Perkins Student Loan?

A deferment is a period of time in which you are not required to make loan payments and interest does not accrue.  To qualify for a deferment you must meet certain requirements.  At the end of the deferment period you may be eligible for a post-deferment grace period of six consecutive months.  For a complete description of the deferments that are available for your loan, you should refer to your original promissory note.

Deferment Eligibility Criteria

Student Deferment - Must be enrolled at least halftime at an eligible post-secondary school.

• If you return to school at least halftime your loan may be deferred for each certified period of enrollment. To obtain a student deferment, you must contact the office responsible for managing your loan.  If your enrollment can be verified through various approved databases, your service representative will process your deferment with no paperwork required.  However, if your enrollment information is not available, you will need to complete a deferment form and return it to your service representative.

The appropriate certifying official for a student deferment is the Registrar's office at your school

Graduate Fellowship Deferment - A borrower may defer repayment if he or she is enrolled and in attendance as a regular student in a course of study that is part of a graduate fellowship program approved by the Department, including graduate or postgraduate fellowship-supported study ( such as a Fulbright grant) outside of the United States.

To receive deferment for enrollment in a graduate fellowship program, the borrower must provide certification that he or she is engaged in full-time study in an approved graduate fellowship program (or has been accepted by the program).

 Rehabilitation Training Deferment - Must be enrolled in a course of study that is part of a Department approved rehabilitation training program for disabled individuals. To receive this deferment you must provide the school with certification that:

• You are receiving or scheduled to receive rehabilitation from the agency.
• The agency is licensed, approved, certified or otherwise recognized by a state agency responsible for programs in vocational rehabilitation, drug abuse treatment, mental health-services, or alcohol abuse treatment; or by the Department of Veterans Affairs.
• The agency provides or will provide the borrower rehabilitation services under a written plan that (1) is individualized to meet the borrower's needs; (2) specifies the date that service will end; (3) is structured in a way that requires substantial commitment from the borrower.  This is a commitment of time and effort that would normally prevent you from holding a full-time job either because of the number of hours that must be devoted to rehabilitation or because of the nature of the rehabilitation.

The appropriate certifying official for a Rehabilitation Training Deferment is the Agency Administrator for your program.

 

Unemployment Deferment - Must be actively seeking employment.

• If you are registered with an unemployment agency and actively seeking employment you may apply for an unemployment deferment.  This deferment is granted for 6 months at a time for up to 3 years of lifetime eligibility.

The Unemployment Deferment is certified by the borrower making application.  Additional support documentation may be required.

 Economic Hardship Deferment - Must be working full-time or part-time and meet eligibility requirements.

• If you are working at least part-time and your income does not exceed minimum wage, or you have a student loan debt ratio that is 20% or more of your monthly gross income or you are receiving public assistance you may apply for an economic hardship deferment. To accurately determine your eligibility, please complete the economic hardship deferment worksheet that is found with the Economic Hardship Deferment Form.  This deferment is granted for 1 year at a time for up to 3 years of total lifetime eligibility.

The Economic Harship Deferment is certified by the borrower making application.  Support documentation such as wage stubs, proof of outstanding educational debt etc is required.