How Student Loan Forbearance Impacts Your Credit

Highlights:

• Student loan forbearance can pause or lower your payments for a set time.
• Forbearance does not erase your student loan debt.
• Late or missed payments before or after forbearance may hurt your credit scores.
• Watching your credit can help you stay on track while your loans are in forbearance.

Student loan payments are important to keep track of. But they can be hard to manage when your income changes or other bills become more urgent. In those moments, forbearance may give you some short-term breathing room. Forbearance can apply to several types of loans, including student loans.

With student loans, it usually means your lender pauses or lowers your payments for a short time. But it does not make the debt go away. In most cases, interest may still grow while your lender pauses your payments. Here's what to know about student loan forbearance and your credit.

What is forbearance on student loans and how does it work?

Student loan forbearance is a temporary change to your payment plan. It can pause your payments or reduce the amount you owe each month. You may qualify for student loan forbearance if you meet certain criteria. These include short-term financial hardship, medical costs or job loss. If you have any other issue that makes your payments hard to manage, you may also qualify. Federal student loan options depend on your loan type and your situation. Private student loan options depend on your lender.

If your lender approves your request, your student loan payments may stop or go down for a set period. Before you agree, ask a few basic questions.

• When does forbearance start?
• When does it end?
• Will interest keep growing?
• What will my payment be after forbearance ends?

It's important to get clear answers. Forbearance can help in the short term, but it may raise the total amount you owe if interest keeps adding up.

How can my student loan forbearance impact my credit scores?

Forbearance should not hurt your credit if your lender reports your loan the right way. The bigger risk is missing payments before your lender approves it or after it ends. Your lender may report late or missed payments and that could hurt your credit scores.

It is also important to remember that forbearance pauses payments. It does not forgive your debt. In most cases, interest can still build during forbearance. That can make your balance larger and may increase what you pay over time.

You can still protect your credit during forbearance. Try to pay your other bills on time, keep credit card balances low and avoid taking on new debt you do not need. If you can afford it, even a small student loan payment may help reduce the interest that adds up.

Are there alternatives to student loan forbearance?

Forbearance can be useful, but it may not be the best choice for every borrower. Before you choose it, ask your loan servicer or lender about other options. Some private lenders may offer interest-only payments for a short time. This can lower your monthly payment while still helping you cover some of the interest.

If you have federal student loans, look at an income-driven repayment plan, also called an IDR plan. IDR plans often provide a lower monthly payment based on your income and family size. If enrolled in the Saving on a Valuable Education (SAVE) Plan, check your account and look for updates from your loan servicer. A March 10, 2026 court order ended the SAVE Plan. The affected borrowers can explore other repayment plans.

How can Equifax^® help me manage my credit while my student loans are in forbearance?

Credit is an important part of your financial health. If your student loans are in forbearance, it is still important to pay attention to your credit. Checking your credit can help you spot changes and review your payment history. It also helps you make sure your accounts look right. This can be helpful before, during and after forbearance.

Equifax Core Credit™ can help you keep track of your Equifax credit score. With Core Credit, you can access a free daily Equifax credit report and VantageScore^® credit score. This credit score is a VantageScore based on Equifax data. A VantageScore is one of many types of credit scores. That way, you can follow your credit health over time.