I Need More Deferral Time For My Student Loans

Consolidation may be your key to extended deferral time, after all, consolidation worked out pretty well for the Brady’s, ha-ha.
Of course I make that analogy tongue and cheek. Here in the real world things seldom go that smoothly, which is why the Brady’s serve as our “fictional” gold standard. Still, we can aspire to be Brady-like, right? We all want that “sunshine day.”
Well, get those sunglasses ready because I may be able to help your plight during these challenging times with a helpful tip that many of you are completely unaware of.
First off, what sparked this blog was the countless queries I’ve received on this topic. I have never fielded more calls and/or emails asking if there is anyway to defer a student loan beyond the standard three year eligibility period. The unemployment rate is now up to 8.1%, according to the latest U.S. Bureau of Labor Statistics report, which means more defaulted student loans are on the horizon unless borrowers are able to deferred them longer.
So how can you add another three years of deferment time? Well, if your loans have not yet been consolidated with the Department of Education’s Direct Loan center than you can transfer your loans to them (re-consolidate) and that will refresh your three year deferment benefit. That’s it. So if you are currently will Salle Mae, Suntech, Chase, etc just re-consolidate your loans with the Direct Loan Center.
Keep in mind that reconsolidating will not impact your interest rate, and if you have a borrower benefit through your current lender that will not be carried over to the Direct Loan Center. However, if your primary goal is to give yourself more time to pay back your loans until the economy recovers, this is probably your best bet and will serve the purpose.
Now everybody’s smilin - sunshine day.