What if my parents or I have trouble repaying a PLUS Loan?

Under certain circumstances, your parents can receive a deferment or forbearance on their loans. During a forbearance period, their payments can either be postponed or reduced. However, since all PLUS Loans are unsubsidized, interest will be charged during periods of deferment or forbearance. If the interest is not paid as it accrues, this accrued interest will be added to the principal amount of the loan (capitalized) when repayment resumes.