First things first, set a reminder because federal student loans resume repayment on May 1, 2022. Repeat: MAY FIRST, TWENTY TWENTY-TWO. There is currently a federal student loan payment freeze in effect (it has been pushed back a couple of times during the pandemic) which means this is a penalty-free non-payment period AND you won’t accrue any additional interest. That’s not to say that you shouldn’t be making any payments currently. Read on and find out why making some payments when you don’t have to could be beneficial to you in the long run.

Student loans function just like any other type of debt that shows up on your credit report. On-time payments on student loans could strengthen your credit score over time. Meanwhile, late payments could be a catalyst for a credit score dive. If you make payments on time, though, student loans are more likely to help your credit score than hurt it. Here’s what to know about how student loans affect your credit score — and how you can leverage them to your advantage.

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