Many Millennials are facing student loan debt. As you may already know by now; the government has enacted a mandatory deferment on all Federal student loans from March 13th, 2020 – September 30th, 2020.
That means people holding Federal student loans do not have to make a principal or interest payment until October of 2020 unless the Cares Act becomes extended. The credit status of the loan will continue to report as it had been reported in March during the duration of the deferment.
If your income has been affected; this gives you time to look for employment. If not, this can be a time where you can add extra money toward your payment because you will not have to pay interest. That will allow you to knock down some of the principal. You can also call your loan servicer to ask for a re-calculation if you were on an income-based repayment plan and your income was affected.
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