Are Sallie Mae Loans Deferred For Covid

While the pandemic hasn’t caused private student loan payments to stop, many lenders are providing alternative options, like temporary deferment or altered payment plans.

We want to provide you with the knowledge and assurance you need to make your finances better. All opinions are our own, despite the fact that we receive payment from our identified partner lenders. Credible Operations, Inc. NMLS # 1681276, is referred to here as “Credible. “.

Through the CARES Act, the government has temporarily suspended interest and repayments on federal student loans due to the COVID-19 pandemic. However, you might be wondering whether private student loans have also been impacted by the coronavirus.

The good news is that many private lenders are providing assistance to customers who have been affected by the pandemic, despite the fact that each private lender has its own policies.

How has the COVID-19 pandemic affected private student loans?

Private student loan lenders generally continue to operate the same whether you are a student or have graduated. This means that COVID-19 has not had a significant impact on private student loans.

Despite the fact that private student loans are not covered by the CARES Act, many lenders appear to recognize that borrowers may be experiencing hardship in these trying times and are offering various forms of assistance to borrowers.

For instance, some lenders provide forbearance, deferment, or modified payment plans.

Taking out private student loans during the pandemic

Regardless of the pandemic, the application procedure for private student loans should generally be the same if you need to borrow money to pay for school.

Private student loans are still an option for paying for both traditional and non-traditional programs, like trade schools or online colleges.

To find the best loan for you, make sure to look into as many lenders as you can before applying for a loan. Credible makes this simple for you; in the table below, you can compare your prequalified rates from our partner lenders in two minutes.

Learn More: Best Graduate Student Loans

How lenders are handling the pandemic

As the pandemic continues, the following is how each of Credible’s affiliate lenders is managing private student loans:

New loans: There haven’t been any changes when it comes to taking out a new private student loan with Ascent. You can borrow $2,001 to $400,000 to pay for school — though keep in mind the maximum limit will depend on the type of loan you apply for and whether your credit is reviewed.

Loans in repayment: Ascent is offering a three-month emergency forbearance option for current borrowers impacted by coronavirus. If you’re dealing with financial hardship, you might be able to pause your payments for up to four consecutive periods (a total of 12 months).

Call Launch Servicing at 877-354-2629 to talk about your Ascent loans.

New loans: If you’d like to take out a private student loan with Citizens, there shouldn’t be any changes to the process. You can borrow $1,000 up to your school’s cost of attendance — though keep in mind that aggregate limits might apply.

Loans in repayment: Borrowers who have a Citizens student loan can apply for a three-month emergency forbearance if they’re experiencing financial hardship. This forbearance can be renewed up to two additional times — meaning you can pause your payments for a total of nine months.

Contact information: To discuss options for your Citizens loans, call Firstmark Services at 866-259-3767.

New loans: College Ave is also operating as usual when it comes to new student loans. You can borrow $1,000 up to your school’s cost of attendance (minus any other financial aid you’ve received).

Loans in repayment: If you have College Ave student loans, you might qualify for assistance. Be sure to contact them to see if any options are available to you.

Contact information: Call 844-803-0736 to request assistance from College Ave.

New loans: The process for taking out new undergraduate and graduate private student loans from Custom Choice have remained unchanged. You can borrow $1,000 up to $1,000 to $99,999 annually ($180,000 aggregate limit) with a three- or five-year term.

Loans in repayment: Custom Choice offers several options for borrowers experiencing financial hardship, including deferment and forbearance for borrowers who have lost their jobs.

To speak with Custom Choice about your options, call 866-266-3637.

New loans: EDvestinU continues to offer private student loans with no changes to its process. You can borrow $1,000 up to your school’s cost of attendance — though keep in mind that a $200,000 aggregate limit applies.

Loans in repayment: Borrowers struggling to make payments on an EDvestinU loan could qualify for deferment or forbearance options. Contact EDvestinU to see which option might be available to you.

To discuss options for your EDvestinU loans, call Granite State Management and Resources at 800-719-0708.

New loans: New private student loans from INvestEd have remained unchanged. If you’re living or attending college in Indiana, you might qualify for an INvestEd student loan ranging from $1,001 up to your school’s cost of attendance (minus any other financial aid you’ve received).

Loans in repayment: If you currently have INvestEd loans, you might qualify for assistance options. Be sure to contact INvestEd to see what help is available to you.

To discuss options for your INvestEd loans, contact American Education Services (AES) at 800-233-0557.

Learn More: Applying for Student Loan Unemployment Deferment

New loans: MEFA has continued to issue new private loans to students attending public and private schools. These loans start at $1,500 for public schools and $2,000 for private schools, and they can go up to your school’s cost of attendance (minus any other financial aid you’ve received).

Loans in repayment: MEFA offers several options for dealing with your student loans during the pandemic, including forbearance and modified payment plans.

Call AES at 800-233-0557 to determine which choice is best for your MEFA loan needs.

New loans: Taking out new student loans through Sallie Mae hasn’t been affected by the pandemic. You can borrow $1,000 up to 100% of school-certified cost of attendance.

Loans in repayment: Sallie Mae borrowers who are experiencing financial hardship might qualify for various assistance options. Reach out to Sallie Mae to see what’s available to you.

To speak with Sallie Mae about your options, call 833-558-6577.

Check out: How to Obtain Student Loans for Outstanding School Bills

How to take out a new student loan

If you require a student loan to pay for your education, take the following actions:

Apply for scholarships and grants. Before turning to student loans, be sure to apply for any scholarships and grants that you might qualify for. Unlike student loans, these don’t have to be repaid, which makes them a good option to pay for school.

Fill out the FAFSA. Next, complete the Free Application for Federal Student Aid (FAFSA) to apply for federal student loans and federal grants. Your school will use your results to determine what federal aid and school-based scholarships and grants you’re eligible for. Also keep in mind that unlike private student loans, most federal student loans don’t require a cosigner or a credit check.

Apply for private student loans. After you’ve exhausted your other options, private student loans could help fill any financial gaps left over. You’ll typically need good to excellent credit to qualify for private loans. Some lenders offer student loans for bad credit, though these generally come with higher interest rates. If you’re struggling to get approved, consider applying with a cosigner. Even if you don’t need a cosigner, having one could get you a lower rate than you’d get on your own.

However, bear in mind that numerous schools have developed strategies and instructions for dealing with the pandemic. Make sure to check in with your school to learn more about how classes and campus life are going so you can decide what is best for your circumstances.

Consider the cost of the loan in the future if you decide to take out a private student loan. This way, you can prepare for any additional expenses.

Using the student loan calculator below, you can determine how much you will pay over the course of your federal or private student loans.

Enter your loan details to determine your potential payment amount Loan amount

You will pay $ each month in interest on a $ loan for its entire term, totaling $. If you make all of the required payments while you are enrolled in school, you will pay a total of $ over the loan’s term.

Compare rates without affecting your credit score if you need a student loan. 100% free!.

Checking rates won’t affect your credit score.

Learn More:

How to manage existing student loans

You might be struggling to make payments on your existing student loans. In this situation, getting in touch with your lender ought to be your first move.

Your lender may be able to provide you with student loan assistance, such as lowering your payments or temporarily deferring your loans, despite the fact that this may seem intimidating or even frightening.

You might think about refinancing your student loans if your lender offers you no other options. You may be eligible for a lower interest rate, which could enable you to reduce your interest costs.

Alternately, you could choose a longer repayment period to lower your monthly payment, but you would end up paying more in interest over time.

If you have bad or fair credit, refinancing with a cosigner may help you get a lower rate or be approved.

Also keep in mind that refinancing federal student loans will void your eligibility for certain federal benefits and protections, including student loan forgiveness programs and access to income-driven repayment plans.

Use the calculator below to determine how much you might be able to save on your student loans if you decide to refinance them.

Step 1. Enter your loan balance Loan balance

Step 2. Enter current loan information Interest rate

Step 3. Enter the details of your new loan to begin figuring out your savings interest rate.

You can save money by refinancing your student loan at% interest rate. You’ll pay an extra $ per month and have your loan paid off by The total cost of the new loan will be $.

Compare offers from the best lenders to see if refinancing makes sense for you and calculate your actual savings

Checking rates won’t affect your credit score.

Keep Reading: When to Refinance Student Loans About the author

Lindsay VanSomeren specializes in credit and loans. Her work has appeared on numerous websites, including LendingTree, Forbes Advisor, and Credit Karma.

Choosing a Student Loan

Tools and Resources

FAQ

Are Sallie Mae loans being deferred?

If you’re enrolled full-time or part-time, you can apply for a deferment of up to 48 months for a Smart Option Student Loan® or a Sallie Mae graduate student loan.

Are Sallie Mae loans going to be forgiven?

No, Sallie Mae is not participating in the forgiveness program; it only applies to federal student loans. Sallie Mae loans and other private student loans won’t be forgiven under this program.

Will student loans be deferred again past May 2022?

The student loan payment pause now ends on Dec. 31, 2022. The borrower should get ready to start making payments again in January or look into alternative repayment options.

Are student loans still deferred 2022?

1, 2022. The Biden administration said on Tuesday that it would postpone the federal student loan payment freeze until either the end of June or the time that it can implement its debt forgiveness plan. Bills for federal student loans were supposed to start again in January.