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How can I temporarily lower my payments (interest-only payments) | Student Loan Refinancing

If you're experiencing financial hardship or anticipate that you'll have financial hardship in making any upcoming loan payments, we’re here to help. Please note the option below may require a review of your (and any cosigner’s) financial situation and ability to pay.

Short-Term Interest-Only

This program will allow you to make a lower (interest-only) payment on your loan in 3-month increments, up to 24 months total. Paying just the interest that accrues will prevent the post-program monthly or biweekly payment(s) from significantly rising by extending the term of your loan by the same number of months this program is utilized (up to 24). Making a payment, even a reduced one, is always the best long-term as interest continues to accrue. 

Once you enter back into full repayment, your minimum payment amount may increase slightly to ensure the loan is paid off according to the chosen number of payments in your loan agreement. The exact difference will depend on the length of the Short-Term Interest-Only plan, your current balance, your interest rate, and the number of payments you have remaining. The loan term will also be extended by the number of months this relief is used (up to 24). 

Here are some examples of undue financial hardships:

  • Involuntary decrease in income (e.g., reduction in hours, unpaid leave, or change from full-time to part-time employment)
  • Involuntary loss of employment (defined as termination at no fault of the client)
  • Significant increase in costs that are essential to the home or family (e.g., increase in medical expenses, emergency home repairs, or child care)
  • Unpaid maternity/paternity leave

How can I apply for Short-Term Interest-Only? 

Please note, you must have at least 12 months of repayment left on your loan, cannot exceed more than the allotted 24 months of short-term interest-only payments available, and must not be paid ahead in order to apply for this payment relief option. If you are interested in moving forward with this option, please contact our Client Happiness team by clicking the green “Get In Touch” button below, and we’ll be happy to help. 

If you have exhausted the time available for the Short-Term Interest-Only plan, there are other relief plans, such as our Skip-A-Payment or Forbearance.

Additional support

If the options listed do not meet your unique circumstance or you need additional support, there may be alternative repayment and relief options available to you through our Navient partners. To discuss personalized repayment options with their team, feel free to give them a call Monday through Friday, 5 AM to 4 PM PT (8 AM to 7 PM EST) at 855-203-4596.

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