Behind on Student Loan Payments? What Borrowers Should Know

Falling behind on federal student loan payments can happen quickly. A change in income, unexpected expenses, or a monthly payment that is simply no longer affordable can turn one missed payment into several.

If you're behind on student loan payments, understanding where your loans currently stand can help you determine what options may still be available.

Missing Payments Doesn't Immediately Mean Default

A missed federal student loan payment generally makes the loan delinquent. If payments continue to be missed, however, the loan can eventually enter default.

For many federal student loans, default generally occurs after at least 270 days of missed scheduled payments.

That distinction matters.

Borrowers who are delinquent but not yet in default may have access to options that become unavailable once the loans officially default.

What Options Might Be Available?

The answer depends on your loans and financial circumstances.

Some borrowers may be able to explore federal repayment options that take income into consideration. Others may have circumstances where deferment, forbearance, or another available program is relevant.

If the loans have already progressed into default, the conversation changes to potential student loan default resolution options, such as rehabilitation or consolidation.

Smart Loan Aid helps borrowers determine where their loans currently stand and understand which options may apply to their particular circumstances.

Don't Wait Until Collections Begin

Once eligible federal student loans enter default, borrowers can potentially face consequences including collection activity, wage garnishment, and Treasury offset.

Addressing unaffordable student loan payments earlier may provide more options than waiting until the loans have been in default for an extended period.

Having Trouble With Your Student Loan Payments?

Whether you've missed your first payment or have been behind for months, understanding your loan status is an important first step.

Contact Smart Loan Aid to speak with a student loan advisor and explore the options that may be available.

Smart Loan Aid is an independent student loan assistance company and is not affiliated with the U.S. Department of Education. Eligibility and final approval for federal programs are determined by the applicable loan holder, servicer, or government agency. Results are not guaranteed.