How long can I defer my student loan payments?

The length of time students can defer their loans depends on the type of loans that they have. Subsidized loans, such as Stafford and Perkins loans, can be deferred for up to six months after graduation. These loans can also be deferred if students have part-time enrollment status at a college or university. Students can also receive deferment for up to three years due to the inability to find full time employment or demonstrable economic hardship. These special deferments require applying to the appropriate group – the school, lender, or agency that made the loan. Students must continue to make payments on their loans until approval for deferment is received, or they risk defaulting.

Some active duty military personnel may also qualify for deferment. Soldiers who are on active duty during a war, a military operation, or national emergency may defer their loans for a total of three years.

Unsubsidized loans, such as PLUS loans may be deferred as well, however the process differs from subsidized loans. With subsidized loans, the government pays the interest on the loan while it is being deferred. In the case of unsubsidized loans, interest accrued during the period of deferment is added to the principle amount, and must be paid back after deferment has ended.