Federal student loan servicers sometimes place borrowers into administrative forbearance when they need additional time to process paperwork, correct account errors or implement changes to repayment plans. For example, during the rollout of the Saving on a Valuable Education (SAVE) Plan, administrative forbearance became especially common as servicers worked through payment recalculations and application backlogs.…
Administrative Forbearance for Student Loans
Federal student loan servicers sometimes place borrowers into administrative forbearance when they need additional time to process paperwork, correct account errors or implement changes to repayment plans. For example, during the rollout of the Saving on a Valuable Education (SAVE) Plan, administrative forbearance became especially common as servicers worked through payment recalculations and application backlogs.…
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