Common use of Incentive Programs; Deferment and Forbearance Clause in Contracts

Incentive Programs; Deferment and Forbearance. The Servicer shall service the Trust Student Loans in accordance with the terms of any applicable borrower incentive program, to the extent such programs are in effect for each Trust Student Loan as of the Closing Date and to the extent any Borrower requests that any borrower incentive program be applied to the Borrower’s Trust Student Loan. The Servicer may, in accordance with its customary servicing policies, grant any Borrower alternative payment options as provided within the terms of the Trust Student Loans (e.g., interest-only payments); provided, that such Borrower requests and properly qualifies for such deferment or forbearance in accordance with the terms of SLC’s deferment or forbearance policies, respectively; provided, further, that under such deferment and forbearance policies, any interest payments that are postponed shall be capitalized no more frequently than quarterly and at the end of the deferment or forbearance period, respectively.