Financial Glossary

Addition of unpaid accrued interest to the principal balance, increasing the total loan amount.

Temporary postponement of student loan payments during specific qualifying situations.

Temporary reduction or pause of loan payments with interest accruing on all loan types.

An income-driven repayment plan capping payments at 10-15% of discretionary income with forgiveness after 20-25 years.

Student loan repayment plans where monthly payments are based on income and family size.

The continuous accumulation of interest charges on an outstanding loan balance.

Cancellation of remaining student loan debt after meeting specific conditions.

Combining multiple federal student loans into one single loan with a fixed interest rate.

An income-driven repayment plan capping payments at 10% of discretionary income with forgiveness after 20 years.

A program forgiving federal student loans after 10 years of payments while working in public service.

An income-driven repayment plan with payments at 10% of discretionary income and forgiveness after 20-25 years.

A federal student loan where the government pays the interest while you're in school and during deferment.

A federal student loan where interest accrues from the day the loan is disbursed.