How do loan servicers determine if I qualify as having “partial financial hardship?”
To determine if you qualify for a particular repayment plan due to partial financial hardship, loan servicers will determine your potential monthly payment under that plan. If the monthly payment is equal to, or greater than, the monthly payment amount owed on the standard 10-year repayment plan, then you technically don’t have partial financial hardship. Conversely, if the payment you would owe on the repayment plan is lower than the amount owed on the standard plan, then you qualify as having partial financial hardship.
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