Higher Education News

Professor Who Battled College of Charleston Over Syllabus Is Suing

Chronicle of Higher Education - August 3, 2016 - 12:12pm
Robert T. Dillon's refusal to update his syllabus with learning outcomes did not go over well with administrators.
Categories: Higher Education News

Oberlin Professor Is Placed on Leave Over Anti-Semitic Social-Media Posts

Chronicle of Higher Education - August 3, 2016 - 12:00pm
The college said it would begin a "faculty-governance process" to evaluate whether Joy Karega will continue in her position.
Categories: Higher Education News

Arkansas State U. Chancellor Quits Following His Wife's Resignation Last Month

Chronicle of Higher Education - August 3, 2016 - 11:44am
Tim Hudson's wife, Deidra, resigned from her part-time position as director of study abroad after an audit revealed a range of problems in the program.
Categories: Higher Education News

5 Questions to Ask Yourself Before Postponing Your Federal Student Loan Payments

U.S. Department of Education Blog - August 3, 2016 - 11:00am

If you’re having difficulty repaying your federal student loans, then you might want to consider a deferment or forbearance. These two temporary solutions allow you to stop making or, in some instances, to lower your monthly federal student loan payment. While both can be helpful solutions if you’re experiencing temporary hardship, they aren’t great long-term solutions because they can be costly, and if you aren’t careful, your loan balance could be higher when your deferment or forbearance period ends.

Before you apply, here’s some information that can help you decide if deferment or forbearance is the best option for you.

1. Should I choose a deferment or forbearance?

The two main differences between deferment and forbearance are

  • the situations under which you may qualify, and
  • whether or not you’ll be charged interest when you’re not making payments.

Most borrowers first apply for a deferment because it’s usually the best option and then if they aren’t eligible for it, their loan servicer (the organization that manages your student loan) may grant a forbearance.

See questions 2 and 3 for additional details.

2. Can I postpone my payments with deferment or forbearance?

Maybe. Getting a deferment or forbearance is about your situation and the reason you are having trouble making your loan payments.  In general, you’ll request a deferment or forbearance because of a financial or economic hardship. Additionally, you may qualify if you are enrolled in school at least half-time, during or directly following a period of active duty military service, while you complete a medical or dental residency program, while you serve in the Peace Corps, or while you serve in a national service position for which you received a national service award (e.g., AmeriCorps). You’ll want to review a list of situations that qualify for deferment and the list of reasons you may request a forbearance or you can always contact your loan servicer for more information.

3. How could a deferment or forbearance cause my loan balance to increase?

Whether your loan balance increases depends on the type of federal student loans you have, whether you are requesting a deferment or a forbearance, and whether you make any required interest payments during this time. Let me explain.

With deferment, the federal government pays the interest that is charged during a deferment period for certain types of federal student loans. For those loans that the federal government does not pay the interest charges, such as unsubsidized loans and PLUS loans, interest continues to accrue (accumulate) during deferment. Any unpaid interest that accrues during your deferment period is added to your loan balance. This is called capitalization.

With forbearance, the federal government does not pay interest charges for any type of federal student loan—ever. So, while you can stop making payments or reduce your monthly payment amount for up to 12 months, interest continues to be charged on all of your federal student loans during a forbearance period. Again, any unpaid interest that accrues during this time will be added to your loan balance.

4. Should I postpone my payments with a deferment or forbearance?

Just because you qualify to postpone your payments with a deferment or forbearance, doesn’t mean you should. Why? Because any unpaid interest (discussed in the previous question) that accrues during deferment or forbearance periods may be capitalized. So when you start making your payments again—which you eventually must do—your loan balance may be higher than it was before you got a deferment or forbearance, which may cause your monthly payment amount to increase. For this reason, a deferment or forbearance may not be the best option for you. There are often better options available to help you make your monthly payment.

5. What are my other options?

Other options include changing your payment due date, switching repayment plans, or consolidating your loans. For example, just changing your repayment plan to an

income-driven repayment plan could reduce your monthly payment to $0. Consolidating your loans could also lower your monthly payments by giving you up to 30 years to repay your loans. If you haven’t considered these options, you’ll want to review the options before you apply for a deferment or forbearance.

Ultimately, the decision to postpone or reduce your monthly student loan payment is yours, but for many borrowers it is absolutely necessary to keep a loan from going into default. Just proceed with caution and take some time to find out the best option for you and your financial situation. You can always contact your loan servicer to discuss the options. Your servicer will help you—free of charge!

You can find more information about deferment and forbearance, including the situations that may make you eligible at StudentAid.gov/deferment-forbearance.

Photo by Getty Images.

Lisa Rhodes is a writer at the Department of Education’s office of Federal Student Aid.

The post 5 Questions to Ask Yourself Before Postponing Your Federal Student Loan Payments appeared first on ED.gov Blog.

Categories: Higher Education News

Why Isn't Baylor Under Title IX Investigation? A Records Request Yields Laughably Little

Chronicle of Higher Education - August 3, 2016 - 2:55am
In response to a Chronicle request under the Freedom of Information Act, the government returned 2,203 pages — the vast majority of which were redacted.
Categories: Higher Education News

‘Coalition’ Leader Wants New Application to Serve the Underdog in Admissions

Chronicle of Higher Education - August 3, 2016 - 2:55am
Annie Reznik, the first executive director of the Coalition for Access, Affordability, and Success, says the group aims to empower disadvantaged students.
Categories: Higher Education News

‘We Write the Violence Out Completely’: A Journalist Says Rape Culture Is Systemic in College Football

Chronicle of Higher Education - August 3, 2016 - 2:55am
A new book details how stories about sexual assaults by players extend far beyond each perpetrator. Coaches, administrators, and to some extent the news media all run the same plays when a new case breaks.
Categories: Higher Education News

In Leadership Fight at U. of Louisville, Uncertainty Reigns

Chronicle of Higher Education - August 3, 2016 - 2:05am
The university’s leaders were already mired in controversy when the governor tried to shake up the board. Now that a judge has halted that effort, questions about who’s really in charge are only growing louder.
Categories: Higher Education News

Merced College Hired Investigator to Trace Disparaging Letter After Police Refused

Chronicle of Higher Education - August 2, 2016 - 5:05pm
Cen Cal Investigations, a private investigation firm, was paid $150 by the college to conduct a "latent fingerprint" search in March, according to documents obtained by the Merced Sun-Star.
Categories: Higher Education News

Disgraced Chapel Hill Ethicist Says Claims Against Her Are Totally False

Chronicle of Higher Education - August 2, 2016 - 12:41pm
Meanwhile, the University of North Carolina flagship responded to the NCAA's Notice of Allegations by saying the association had overstepped its authority.
Categories: Higher Education News

The Scholars Who Look at American History Through Beer-Tinted Glasses

Chronicle of Higher Education - August 2, 2016 - 2:55am
For a major cultural force, beer hasn’t faced much serious historical inquiry. But now that the Smithsonian is seeking a scholar in the field, could "beer studies" become a thing?
Categories: Higher Education News

The College Custodian as an Unheralded Pillar of Student Support

Chronicle of Higher Education - August 2, 2016 - 2:55am
A researcher who shadowed maintenance workers in the dormitories of a large public university found that they often provide mentorship and crisis intervention. He suggests training them to do so better.
Categories: Higher Education News

Meet the Young Republicans Who Founded ‘Students for Trump’

Chronicle of Higher Education - August 2, 2016 - 2:55am
With a social-media strategy that's heavy on anti-Hillary memes and photos of bikini-clad Trump supporters, two Campbell University students have pushed the candidate's message to thousands of college students.
Categories: Higher Education News

As Coding Boot Camps Grow, One Tries a Nonprofit Model

Chronicle of Higher Education - August 2, 2016 - 2:55am
The leader of the Turing School of Software & Design says its mission is to promote social justice and help diversify computing fields.
Categories: Higher Education News

Professors Assign Students to Post to BuzzFeed. You’ll Never Believe What Happens Next.

Chronicle of Higher Education - August 2, 2016 - 2:55am
The approach, in use in a variety of subjects, is said to engage students in new ways and allow them to demonstrate their understanding of the material.
Categories: Higher Education News

A New Approach to College Admissions

Chronicle of Higher Education - August 1, 2016 - 10:00pm
The Coalition for Access, Affordability, and Success is rolling out a new college-application platform that it says will help a diversity of students make their way through the college-admission process. Here's a look at how and why this controversial new approach was devised.
Categories: Higher Education News

Yale's Decision to Keep Calhoun's Name on College Was Not Final, President Says

Chronicle of Higher Education - August 1, 2016 - 3:22pm
Peter Salovey says the university might yet strip the name of a defender of slavery from a residential college.
Categories: Higher Education News

U. of Houston Student Leader Is Suspended From Duties Over Controversial Post

Chronicle of Higher Education - August 1, 2016 - 3:02pm
Rohini Sethi, the Student Government Association’s vice president, wrote "Forget #BlackLivesMatter; more like #AllLivesMatter" after a shooting in Dallas killed five police officers.
Categories: Higher Education News

Controversial College Chief Now Works on App That Compares Itself to Tinder

Chronicle of Higher Education - August 1, 2016 - 12:48pm
Evan S. Dobelle, who left multiple presidencies under clouds of controversy, is a senior vice president for the app Countable.
Categories: Higher Education News

NYU Begins Ignoring Common App's Questions on Criminal Records

Chronicle of Higher Education - August 1, 2016 - 10:59am
The university says it has added narrower questions to its part of the application that ask applicants if they have been convicted of or disciplined for violent offenses.
Categories: Higher Education News

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