Deferment is a postponement of repayment under various, specific circumstances. In most cases, deferments aren't granted automatically; you must formally request one through the procedures your loan holder has established. Often, you need to complete a deferment form. You’ll need to provide documentation showing you’re qualified for the deferment you’re applying for. Make sure all your paperwork is in order and make sure the loan holder receives it.

Here’s one of the most important things to remember: You must continue to make payments on the loan until you’ve been notified the deferment has been approved. Sometimes borrowers apply for deferment and don’t hear anything back and assume things are fine. Or, as soon as they submit a deferment form and their paperwork, they think they can immediately stop payment. Even if the paperwork is received without any problem, it takes a while to process. So, don’t skip the next payment when it’s due. First, check with the loan holder. If your deferment has not been processed, make your payment! You might go into default otherwise. You can’t get a deferment on a defaulted loan.

Students receiving Federal education loans may obtain various deferments:

• In-School Deferment
• ACTION Program Deferment
• Peace Corps Deferment
• Tax-Exempt Organization Volunteer Deferment
• Teacher Deferments

Deferment forms may be obtained on USAFunds website.