Continuing Your Education

This application is used for the following types of deferments:

Continuing Your Education Deferment Application (pdf)

Student Deferment (enrolled as at least half-time student) 

Payments on both federal and University long-term loans may be deferred while attending an eligible college, university, or trade school. Payments are not required and interest does not accrue during a period of student deferment. You will not receive a loan billing statement during the deferment period. However, if you wish to pay on your student loans during the deferment period, you may do so interest free.

Eligibility

Your loan must be paid to the start of the deferment period. Additionally, you must be registered for at least half-time credits.

Grace Period

You will receive an additional grace period of either six or nine months. Payments are not required and interest will not accrue during the grace period.

Application Process

There are two ways to apply:

  1. Submit an application:
Penn State 
Student Financial Services
108 Shields Building
664 Curtin Road
University Park, PA 16802

Fax: 814-865-6535
  1. Provide a letter from your current school's Registrar certifying your registration. The letter must include:
    • Institution's name, address, and the dates of your registration
    • Verification that your registration is at least half-time

You must apply for a student deferment each semester.

When to Apply

Wait until the beginning of the applicable semester to have registration certified by your school's Registrar.

Re-enrolling at Penn State

If you are returning to Penn State, please contact us.

Other Options

If your loan is not eligible for a student deferment and you are unable to make your scheduled payments, you may apply for an economic hardship deferment or forbearance.

Internship/Residency Deferment 

Your University student loan may be eligible for an internship/residency deferment. Payments are not required and interest will not accrue during the internship/residency deferment.

Eligibility

The program must be:

  1. Required by a state licensing agency as a prerequisite for certification for professional practice; or
  2. Part of a program leading to a degree or certificate awarded by an institution of higher education, hospital, or health care facility offering post-graduate training.

Additionally, to qualify for an internship/residency deferment, your loan must be a Hershey Medical School University funded student loan. The loan must be paid through to the start of the deferment period. Federal Perkins student loans awarded after July 1, 1993 are not eligible for internship/residency deferments.

Grace Period

You will receive an additional six month grace period. Payments are not required and interest will not accrue during the grace period.

Application Process

There are two ways to apply:

  1. Submit an application
Penn State
Student Financial Services
108 Shields Building
664 Curtin Road
University Park, PA 16802

Fax: 814-865-6535
  1. Provide a letter from your internship/residency advisor, supervisor, or certifying official you are serving an internship/residency. The letter must include the institution's name, address, and the start and end dates of your internship/residency.

You must apply for an internship/residency deferment each year.

Other Options

If your loan is not eligible for an internship/residency deferment and you are unable to meet your scheduled payments, you may apply for an economic hardship deferment or forbearance.

Rehabilitation Training Deferment 

Federal Perkins loans may be deferred when a borrower is studying in a rehabilitation training program. Payments are not required and interest does not accrue during the deferment. Loans may be deferred for the period of rehabilitation study up to a maximum of three years.

Eligibility

You must be enrolled in a course of study that is part of a U. S. Department of Education approved rehabilitation training program for disabled individuals.

To receive this deferment, the borrower must provide certification that:

  • the borrower is receiving, or is scheduled to receive, rehabilitation training from an educational agency;
  • the educational agency is licensed, approved, certified, or otherwise recognized by a state agency responsible for programs in vocational rehabilitation, drug abuse treatment, mental health services, or alcohol abuse treatment; or by the Department of Veterans Affairs; and
  • the educational agency provides or will provide the borrower rehabilitation education training  under a written plan that (1) is individualized to meet the borrower's needs; (2) specifies the date your training enrollment will end; and (3) is structured in a way that requires substantial commitment from the borrower*.

*A substantial commitment from the borrower is a commitment of time and effort that would normally prevent the borrower from holding a full-time job either because of the number of hours that must be devoted to the rehabilitation training program or because of the nature of the rehabilitation training.

Additionally, to qualify for a rehabilitation training deferment, your loan must be paid to the start of the deferment period.

Grace Period

You will receive an additional six-month grace period. Payments are not required and interest will not accrue during the grace period.

Application Process

There are two ways to apply:

  1. Submit an application
Penn State 
Student Financial Services
108 Shields Building
664 Curtin Road
University Park, PA 16802

Fax: 814-865-6535
  1. Provide a letter from your rehabilitation agency certifying you have been receiving, or are scheduled to receive, services under a program designed to rehabilitate disabled individuals. The letter must include the institution's name, address, and the dates of your rehabilitation training.

You must apply for a rehabilitation training deferment each year.

Other Options

If your loan is not eligible for a rehabilitation training deferment and you are unable to meet your scheduled payments, you may apply for an economic hardship deferment or forbearance.

Graduate Fellowship Deferment Former

Federal Perkins loans may be deferred when the borrower is enrolled and in attendance as a regular student in a course of study which is part of a graduate fellowship program approved by the U. S. Department of Education, including graduate or postgraduate fellowship-supported study (such as a Fulbright grant) outside the United States.

Eligibility

You must be accepted for or engaged in full-time study in an institution's graduate fellowship program.

Additionally, to qualify for a graduate fellowship deferment, your Federal Perkins loan must be paid to the start of the deferment period.

Grace Period

You will receive an additional six month grace period. Payments are not required and interest will not accrue during the grace period.

Application Process

There are two ways to apply:

  1. Submit an application
Penn State 
Student Financial Services
108 Shields Building
664 Curtin Road
University Park, PA 16802

Fax: 814-865-6535
  1. Provide a letter from your institution (where the graduate fellowship is being conducted) certifying that you have been accepted for or engaged in an institution's graduate fellowship program. The letter must include the institution's name, address, and the dates of your graduate fellowship.

You must apply for a graduate fellowship deferment each year.

Other Options

If your loan is not eligible for a graduate fellowship deferment and you are unable to meet your scheduled payments, you may apply for an economic hardship deferment or forbearance.