You may reduce your overall debt or your monthly payments through one or more of several methods.
If you are unable to make your minimum monthly payment, you may be eligible to temporarily delay required payments through deferment or forbearance.
Outstanding accrued interest may be capitalized at the end of the assistance period, increasing your principal balance.
See more about how interest works.
To determine what type of assistance is best for your situation:
If you have been affected by a natural disaster, you may be able to postpone your payments. Contact us to request assistance.
You may choose to switch to a repayment plan that reduces your minimum monthly payment or provides other benefits.
To estimate your payments under a different repayment plan, contact us.
The U.S. Department of Education offers multiple repayment plans for federal student loans.
Private student loans we service are on the Standard Repayment Plan, unless you are approved to lower and extend your payments through another option.
Extra payments may reduce your overall debt if you pay all accrued interest and pay larger amounts to principal. You may also choose to make payments that cover accruing interest when payments are not required, such as during deferment or forbearance, but interest will capitalize or be added to your principal balance.
See how to allocate extra payments.
Certain careers qualify for loan forgiveness:
Some other circumstances also qualify for discharge or forgiveness:
Service members may be eligible for one or more benefits to reduce overall debt. Request deferment or forbearance for federal student loans.
You may submit most completed and signed forms securely online for faster processing of your request and to save money on postage. You will need to enter identifying information and check your email for a unique URL before uploading documents.
For a $10,000 loan with 6.80% fixed interest during a non leap year.
Principal balance x interest rate / number of days in this year = daily outstanding interest
$10,000 x 0.068 / 365 = $1.8630
You would accrue $1.863 in interest every day as long as your principal balance is $10,000. If there were 30 days from your last payment and all previous outstanding interest was paid with your last payment, the monthly interest in this example would be $55.89.
This plan helps you pay off private student loans in the shortest amount of time with the least amount of interest.
Minimum monthly payment: Equal monthly payments needed to repay your loan in full by the end of the repayment term.
This plan lets you begin with lower payments that increase every two years.
Minimum monthly payment: Increases by 10% every two years, in addition to any adjustments made due to variable interest rates.
Important information about interest: You will pay more in interest over the life of the loan because the principal balance decreases at a slower rate.
This plan lets you make mostly interest-only payments for two years.
Minimum monthly payment: After the lower payments for two years, payments increase to an equal amount needed to repay your loan in full by the end of the repayment term.
Several state and federal loan forgiveness programs are available for nurses. Select a link to review eligibility and application requirements or compare programs (PDF).
You may qualify for loan forgiveness of federal Direct Loans if you work for a U.S. federal, state, local or tribal government or not-for-profit organization. See qualifications.
Different loan programs may have different requirements in the event of:
Please contact us to determine if your loan obligations may be forgiven under these circumstances. There may be tax consequences for loan forgiveness. Please consult a tax professional or the IRS with tax questions.
If you make qualifying payments under the Income-Based Repayment Plan for 25 years, the remaining debt may be forgiven. Learn more about Income-Based Repayment.
In certain circumstances, qualifying federal loans may be forgiven if your school closed before you completed your program, your school falsely certified your eligibility or your identity was illegally used to obtain a loan in your name, or your school did not issue a required refund when you withdrew. Learn more about these types of loan forgiveness.
Student loans are not automatically discharged by declaring bankruptcy. A bankruptcy court may discharge student loans if the borrower can prove that repaying the loans would cause undue hardship.
Active service members have their interest rate automatically limited to 6.00% during qualifying service during qualifying military service, as determined by the U.S. Department of Defense’s Manpower Data Center.
If your military service is not reflected accurately in the DMDC and you believe you qualify for Servicemembers Civil Relief Act, you may either:
Active service members may be eligible to have their interest rate reduced to 0.00% on non-defaulted private student loans and you are deployed before June 30, 2025.
Eligible loans must be serviced by Aspire Servicing Center and owned by one of the following lenders:
A 1099-C form reporting the reduction of $600 or more will be issued to the IRS and to the borrower if applicable. Consult a tax professional regarding any tax consequences.
Contact us to apply.
* The Arkansas Student Loan Authority, a Division of the Arkansas Development Finance Authority, offers this benefit for the Arkansas Education Loan, Arkansas Family Education Loan and Arkansas Refinance Education Loan.
You may qualify for a Military Service and Post-Active Duty Student Deferment (PDF) on federal student loans if you meet eligibility requirements.
If you have private student loans, assistance is also available if you serve in the military. Contact us for details.
You may allow another person access to your account while you are on active duty or away from home.
For more information: