In-School Loan Deferment

What happens to my student loans while I'm in school?

So you've done all the hard work of gathering your (and your parents') financial information, filing your FAFSA and reviewing your financial aid offers. You've accepted the offer to your school of choice, and your student financing is now in place. Now what happens?

The answer, in most cases, is not much. Until you graduate or drop below half-time attendance, you will not need to make any payments on your student loans. Most loans are deferred interest student loans, so you do not need to pay on the principal while enrolled, and you also don't have to make interest payments.

But remember: by cutting your class schedule to less than half-time status—which generally means less than six hours at most institutions—you'll trigger repayment requirements.

In the case of PLUS Loans for parents and graduate students, repayment begins as soon as the loan is disbursed, and the first payment is due within 60 days of loan disbursement. In this case, borrowers can—and generally do—request a post-disbursement student loan forbearance while the student is in school at least half-time, and any interest accruing on the loan can be rolled into the principal during that time.

Learn about our Citizens Bank Citizens Bank Student Loan™ with deferred interest and principal

Learn more about our affordable Citizens Bank Citizens Bank Student Loan™ which offers deferred payments of principal and interest until graduation or until you drop below half-time enrollment. If you have questions, call a student loan specialist at 1-800-708-6684, and we'll help walk you through the process.

Additional student loan and college planning resources

What Can a Cosigner Expect?
Financial Aid Disbursement Process
What Do I Do if I've Been Denied for a Private Student Loan?
Your Student Loan is Pending…What Does This Mean?
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