• Home
• Paying for College
• Repaying Your Loan
• Campus & Community Partners
• Publications & Forms
• News
• About Us

:: Economic Hardship Deferment ::

This deferment is for the Federal Family Education Loan (FFEL) Program. Contact your loan holder to discuss your options and download an Economic Hardship Deferment Request Form PDF.

Eligibility Criteria

Maximum Time Limit: 3 years

Effective Oct. 1, 2007, the definition used to determine economic hardship changed. In addition, the request form doesn't reflect the current poverty guidelines or the federal minimum wage rate increase.

To qualify for an Economic Hardship Deferment, all of your outstanding loans must have been made on or after July 1, 1993, and you must meet at least one of the following qualifications:

• You've been granted an economic hardship deferment under the Federal Direct Loan or Perkins Loan Programs for the same period of time you're requesting deferment on your FFELP loan. You must provide proof of the deferment received.
• You're receiving some type of state or federal assistance such as food stamps, Temporary Assistance for Needy Families (TANF) or Supplemental Security Income (SSI). You must provide proof of this assistance by sending in a copy of your award letter or a letter from your caseworker.
• You're serving or will be serving as a Peace Corps volunteer. You must attach documentation showing your period of service.
• You're working full-time and have a gross monthly income that isn't more than $1,353.75 for a family of one. To calculate the poverty line for a family size greater than one, add $467.50 for each additional family member within your household. (income amounts only apply for the 48 contiguous states and the District of Columbia). You must provide proof of income.
• You're unemployed and aren't registered with an employment agency or receiving unemployment benefits, or if you're incarcerated, disabled or on a temporary unpaid leave of absence from work. You may qualify for an economic hardship deferment if you provide your lender with documentation of your income. If you don't have income when you are applying for an economic hardship deferment, you must provide a self-certifying statement, either on the deferment form or in a separate statement, indicating that you have no income.

More information about eligibility and documentation requirements are on the deferment form. To process your request for an economic hardship deferment, your lender must receive the required documentation to verify your eligibility. We encourage you to make a copy of the form and notify your lender that you submitted the request. You should also contact your lender about two to three weeks after mailing the completed form to verify it has been received and processed.

icon indicates a link to an external website

---

:: Helpful Info ::