February 01, 2024
Please contact our servicing partner Mohela at (877) 292-6845 (TTY: Dial 711) for questions on your loan account or to inquire about available hardship options.
If you’d like to speak with a Laurel Road Member Services specialist for any other questions or issues you may have, please contact us at 1-833-427-2265 (TDD/TYY: 1-800-539-8336), by email at [email protected], or by visiting us online.
Financial scammers often take advantage of consumers during times of crisis and/or economic uncertainty. Please see our recent article for tips on what to look out for to protect yourself from these risks.
If you are a current Laurel Road borrower experiencing temporary financial difficulty due to unemployment or other economic hardship, you may be eligible for full or partial forbearance for a 3-month period. All requests for forbearance are subject to review, including acceptable documentation of the nature and expected duration of the economic hardship. Please contact us directly to discuss your individual options. Please note: interest will continue to accrue in forbearance and any unpaid accrued interest will be capitalized and added to the remaining principal of the loan at the end of the forbearance period. Please see our FAQs for more information.
To inquire about your individual forbearance and hardship options if needed, please contact MOHELA at 1-877-292-6845 (TTY: Dial 711).
To help you understand the implications of refinancing federal loans to private student loans, we’ve created the following table highlighting what would be different, and what would remain the same.
|Federal Student Loan
|Laurel Road Refinanced Loan
|Federal loan borrowers choose between repayment plans that offer loan terms from 10 years up to 30 years in length.
|Borrowers who refinance a federal student loan into a private loan with Laurel Road may be eligible for loan terms from 5 years up to 20 years in length.1
|Standardized interest rate throughout duration of loan, but temporary 0% interest rate offered by the federal student loan interest pause.
|New interest rate based on your creditworthiness as a borrower.
|Income Driven Repayment
|Public Service Loan Forgiveness
|Length of Forbearance
|Most federal student loans’ discretionary general and mandatory forbearance allows for borrowers to request forbearance for up to 12 months at a time. If borrowers continue to meet eligibility requirements when that forbearance expires, they may request another forbearance. General forbearance is limited to no more than 36 months over the life of the loan. You can find out more about these programs on the Federal Student Aid website.
Economic hardship: Up to 12 months total of one or more (but not consecutive) 3-month time periods over life of loan. Terms and conditions apply.2
Natural disaster forbearance: Up to 2 monthly payments that does not count against total allowance for general economic hardship forbearance under borrower’s loan term agreement.
|Federal loans allow borrowers to defer payments should they return to school as long as they’re at least a half-time student, and with certain subsidized loans, the U.S. Government may pay the interest during the deferment period.
|Laurel Road does not offer in-school deferment.
|Federal student loans enter default after 270 days of missed payments.
|Laurel Road student loans are considered in default after 90 days of missed payments.
|CARES Act Student Loan Relief
|Available. The federal government has paused all federal student loan payments and waived interest charges on federally held loans. For updates, go to studentaid.gov.
|Those refinancing from a federal loan to a private loan with Laurel Road will lose federal benefits including the ability to defer payments and incur no interest under the federal student loan interest pause.
|Federal loan grace periods extend 6 months beyond your graduation date.
|Laurel Road honors a 6-month grace period beyond your graduation date.
|Discharged in the event of permanent disability or death
|The federal government will discharge the loan – for both borrower and co-signer – in the event of permanent disability or death of the borrower.
|Laurel Road will discharge the loan – for both borrower and co-signer – in the event of permanent disability or death of the borrower.
|Eligible for Student Loan Interest Tax deduction
|Student loan interest is tax deductible for those who qualify based on their income levels. Consult a tax advisor for more information.
|Student loan interest remains tax deductible for those who qualify based on their income levels. Consult a tax advisor for more information.
|Credit report categorization
|Federal loans are categorized as “student loans” on your credit report.
|Private loans from Laurel Road are also categorized as a “student loans” on your credit report.
This information is an overview of the various programs. Please consult studentaid.gov/h/manage-loans for the details about your federal loans and any benefits being offered. For more information regarding Laurel Road’s loan programs and terms visit laurelroad.com/faq.
If you had previously refinanced your federal student loan with Laurel Road, you did not qualify for this federal program under the CARES Act. If you are an existing Laurel Road member and are experiencing an impact to your income as a result of COVID-19, please contact MOHELA at 1-877-292-6845 (TTY: Dial 711) to inquire about forbearance and hardship options available to you.
For more information on federal student loan repayment options, visit studentaid.gov.