A deferment is a temporary suspension of a borrower's monthly loan payment. There are many different types of deferments available.

• During deferment of subsidized loans, principal payments are postponed and interest is not accrued.
• During deferment of unsubsidized loans, principal payments are postponed but interest continues to accrue. Accrued unpaid interest will be added to the principal balance (capitalized) of the loan(s) at the end of the deferment period. This will increase the amount borrowers owe.

A complete list of all deferments available, their eligibility criteria, and the form to download can be seen by accessing Deferment Forms on the Forms section of this Web site.