The University may place a borrower’s NFLP loan in forbearance when extraordinary circumstances such as poor health or hardships temporarily affect the borrower's ability to make scheduled loan repayments. Forbearance is limited to situations in which the borrower clearly intends to repay the NFLP loan obligation but is temporarily unable to comply with the existing repayment schedule. Forbearance periods may be up to 6 months each. The University may grant a borrower no more than 2 forbearance periods and then must obtain approval of HRSA (Health Resources and Services Administration).
During periods of forbearance, the borrower's obligation to make payments for interest and principal may be either reduced or eliminated. Interest on the loan continues to accrue (at the current market rate) but is not required to be paid during this period; however, when the forbearance ends, the borrower must repay the interest that has accrued. Once the forbearance period(s) have ended, a borrower will no longer be eligible for postponement or cancellation benefits and their loan will enter repayment. Interest on their loan will continue to accrue at the prevailing market rate.
To apply, download the forbearance form, complete, sign, and return it to our office.