If paying on schedule would cause you real financial hardship, judged on your income, assets, and debts, an officer can push back the start, delay individual payments, lower the amounts, or stretch the schedule. The stretching has a hard limit: 24 extra months for one type of loan and six extra months for any other. The relief is temporary, it is not a write-off.
(1)If repaying a loan, in accordance with the requirements of section 291, that was made to a person under section 289 would, by reason of the person’s income, assets and liabilities, cause the person financial hardship, an officer may, to the extent necessary to relieve that hardship but subject to subsection (2), defer the commencement of the repayment of the loan, defer payments on the loan, vary the amount of the payments or extend the repayment period.
(2)A repayment period shall not be extended beyond (a)an additional 24 months, in the case of a loan referred to in paragraph 289(b); and (b)an additional six months, in the case of any other loan.