With an average federal student loan debt of $39,075 per borrower in 2025, you're not alone if you're feeling overwhelmed by your student loan payments. If you've lost your job, are thinking about returning to school, or are facing a medical emergency, you might qualify for student loan deferment or forbearance to temporarily pause your payments. Even some private lenders offer the options. In this article, we explain the differences between deferment and forbearance and how you can apply based on your situation.
Student loan deferment vs. forbearance
If you qualify, federal student loan deferment and forbearance options can pause student loan payments for a set period of time. Although they're similar, they have significant differences that can impact your financial future.
What is student loan deferment?
Federal student loan deferment allows you to pause payments for up to three years, which is longer than forbearance. The exact time you can defer your loans depends on the reason. During this period, your federal Direct Subsidized or Perkins Loans won't accrue interest, instead the U.S. Department of Education (ED) covers it for you. Direct Unsubsidized and Direct PLUS loans do still accrue interest.
To qualify to defer your loans, you must be:
- Still in or returning to school at least half-time (or the student for whom you received a federal Parent PLUS loan is still in school)
- Unemployed*
- Receiving federal or state assistance like Supplemental Nutrition Assistance Program (SNAP) benefits or Temporary Assistance for Needy Families (TANF)*
- On active military duty or in the Peace Corps
- Diagnosed with cancer and are getting treatment
- Earning less than 150% of your state's poverty benchmark*
* As of July 1, 2027, new federal student loans will no longer offer deferments for unemployment or economic hardship. Borrowers who take out loans on or after July 1, 2027 will not be able to pause payments under these traditional deferment categories.
If you meet at least one of these eligibility requirements, your loan servicer could grant you a deferment so long as you have deferment time available.
What is forbearance?
With federal student loan forbearance, you can pause your monthly payments for up to 12 months for economic hardship and other approved reasons.
Prior to July 1, 2027, you can reapply for forbearance as soon as the 12-month period ends for an additional 12 months if you are still facing financial difficulties, up to 3 total years of forbearance.
However, as of July 1, 2027, forbearance periods will be capped at 9 months within any 24-month period.
Unlike deferment, interest will continue to accrue on all federal student loans, including Direct Subsidized or Perkins Loans, but there are more qualifiers than deferment.
The two types of forbearance: general and mandatory
General forbearance doesn't require a specific qualifying event. Instead, it's granted at the discretion of your loan servicer. You can request forbearance for:
- Financial difficulties
- Medical expenses
- Job changes
- Other reasons approved by your loan servicer
If you meet any of these criteria, you may qualify for mandatory forbearance:
- You're a medical or dental intern or resident.
- Your loan balance is 20% or more of your monthly gross income.
- You're serving in AmeriCorps on a national service award.
- You're a teacher at a school or program that would qualify you for the Teacher Loan Forgiveness Program.
- You're a member of the U.S. National Guard and on active duty.
- You work for the U.S. Department of Defense and qualify for the student loan repayment program.
Studentaid.gov explains how forbearance works and how to apply.
Deferment and forbearance for private student loans
Some private lenders offer deferment and forbearance options on student loans, but availability varies.
If your lender doesn't have a payment option that's right for you, refinancing could result in a lower monthly payment or interest rate. Citizens has flexible student loan refinancing options and repayment plans available that might fit your situation better.†
Keep in mind that while you can refinance federal student loans into a private loan, you will lose federal student loan benefits and protections. Carefully consider the impact of refinancing before you proceed.
How to apply for deferment or forbearance
To apply for deferment or forbearance, you need to complete the appropriate form and submit it to your student loan servicer.
- Federal deferment: Visit the StudentAid.gov deferment website to learn about approved reasons. The application you submit depends on the type of deferment.
- Federal forbearance: For general forbearance, you can fill out a General Forbearance Request form. If you qualify for mandatory forbearance, the form you complete depends on the qualifying reason.
- Private deferment and forbearance: Available options depend on the loan servicer. Reach out to your lender for more information.
Ready to take the next step?
Deferring or forbearing your student loans could help you get a better handle on your student loan debt. In some situations, however, refinancing may be a better option. If you're looking to take greater control of your finances, learn more about refinancing your student loans with Citizens.†