Many students who graduate from college often leave with a form of student loan debt. Commonly, student debt comes from federal student loans, as they are one of the most popular and affordable loan options available to college students. Despite federal student loans being widely used, just as with any other debt, many students often have trouble repaying their college loans.
College debt is something that can follow someone around for years after graduation but it doesn’t have to be a burdensome problem for anyone who is currently having a tough financial time. Unemployment has been a problem for many people and if student loan repayment is becoming more and more of a problem considering a student loan forbearance option may be beneficial.
Direct Loans, which is the federal student loan program that assists borrowers, has a variety of repayment plans for federal student loan borrowers. Forbearance options allow students or graduates to forgo making payments on their federal student loans for a number of months.
While there are different types of student loans, forbearance options usually allow a graduate to pay either nothing or only interest on their student loan so that they can get back on their financial feet and to a place where they can better afford to pay off their college debt.
There are also options like income-based repayment plans that allow college graduates to only pay a percentage of their income each month to their student loan collector. Anyone with federal student loans who may be having trouble making their loan payments might want to contact their lender and ask about options available, like forbearance plans or income-based repayment plans, which could make paying back your student loans less stressful.