More info on on-ramp period?

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#1

After a super delayed process of my SAVE repayment plan getting approved, I was supposed to start making payments this month. I didn’t make my first payment because I need the next 6 months of the on-ramp period to save some money and pay off some more pressing debt. I’m getting stressed though, because an email from MOHELA says that I now owe March and April’s balance. Will this balance just accrue until September, and then I’ll have to pay it all back at once? Or will I be able to start making regular monthly payments then?

Would also appreciate some reassurance that this has not affected anyone’s credit score so far.

I really wish I had more info on this. I’m feeling very alone.

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#2

It takes 9 mo before you are in default. Once in default there are serious financial penalities. Mohela does report to credit score companies as my student debt is on at least Experian and TransUnion (I don’t know about the third as Credit Karma only lists those two. It is free to create a Credit Karma account).

I’d suggest calling them and see if you can talk them into a hardship forbearance or if they have other options that would help you avoid consequences you don’t want.

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