NYS to Extend Student Loan Relief for Sandy Victims

The New York State Higher Education Services Corporation announced earlier this week that student loan repayment relief for Hurricane Sandy-impacted borrowers would be extended through June 30, 2013.

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The New York State Higher Education Services Corporation announced earlier this week that student loan repayment relief for Hurricane Sandy-impacted borrowers would be extended through June 30, 2013.

On November 9, 2012, Gov. Andrew M. Cuomo directed HESC to grant temporary student loan relief to New Yorkers who were affected by Hurricane Sandy. If requested, residents in Bronx, Kings, Nassau, New York, Queens, Richmond, Rockland, Suffolk and Westchester counties could suspend their student loan payments for a 90-day period from October 27th, 2012 to January 25th, 2013. Members of the military who were called to assist in the aftermath of Hurricane Sandy were also eligible.

“The State recognizes that many New Yorkers who were impacted by Sandy are still struggling, and continue to need relief and support,” said Elsa Magee, acting president of HESC.

“We thank the U.S. Department of Education for approving our request so that we can continue to provide relief to student loan borrowers who live or work in the affected areas. This extension will give impacted families a meaningful period during which they can focus on rebuilding and restarting their lives,” she continued.

Additionally, federal student loan servicers have been directed by the U.S. Dept. of Education to extend the 90-day grace period through June 30 to existing and newly-identified borrowers who have been adversely impacted by the storm.

The extension also requires that delinquency or default notifications made by HESC to credit reporting agencies be suspended or reversed, referrals for administrative wage garnishment be suspended and collections calls to federal student loan borrowers in New York, New Jersey and Connecticut who are delinquent in their federal student loan payments be suspended.

Borrowers should contact HESC to request a temporary suspension by calling 1-866-991-HESC (4372) or by emailing Dept736@hesc.ny.gov.

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