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A forbearance is a temporary modification of the monthly payment obligation on an education loan. Both federal education loans and private student loans offer forbearances, but with different criteria and terms. Forbearance options on private student loans are generally more limited than the forbearance options on federal education loans. There are three main types of forbearances: 1  Temporary cessation of monthly payments. 2  Temporary reduction in the monthly payment amount (e.g., interest-only payments).
Program goal. The goal of mortgage loan forbearance is to help you get your home loan payments â including tax and insurance escrow or impound accounts â reduced or suspended for a set period of time, if youâre suffering from a temporary financial hardship.