How to reduce the amount you pay, even temporarily
If you are having a hard time making your loan payments, we have two options that could help you meet your budget while also keeping your loan on schedule and reporting positively on your credit bureau:
Reduce your payment amount
PRO: If you are finding your payment amount too expensive then reducing it will help you continue to pay your loan on schedule while also making your budget work.
CON: Reducing your payment amount will extend the amount of time required to pay off your loan. Use this option when you need it, but do your best to increase your payment again as soon as you can or make small extra payments when your budget allows it.
AVAILABILITY: You are eligible to reduce your payment amount as long as the reduced amount does not extend your loan beyond 8 years (or 5 years if your loan includes the Standard Loan Protection Plan).
Skip a payment
PRO: If you have unexpected expenses that have made your bank account a little tighter than usual, you can skip a payment on your loan to buy yourself time and buy your budget some breathing room.
CON: While skipping a payment won’t cost you any additional interest, it will extend the amount of time required to pay your loan. Also, there is a limit to how many payments you can skip so be sure to save this option until you absolutely need it.
AVAILABILITY: You are eligible to skip a payment if your loan is at least 3 months old; you have not already skipped more than 3 months worth of payments in the current calendar year; and you have not skipped a total of 6 months worth of payments over the life of your loan.