Y Y Y Economic Hardship 3 yrs. Y Y Y Forbearance 3 yrs. Y Y Y Interest continues to accrue on all unsubsidized loans during deferment periods.
Interest also accrues on all loans during forbearance.
Unless a borrower qualifies for interest subsidy during deferment or forbearance, he or she is responsible for paying this interest and may do so during deferment or forbearance. Interest that accrues during a deferment or forbearance may only be capitalized at the expiration of the deferment or forbearance period.