Direct Loan Forgiveness
Don’t wait until your loan goes into default before searching for help. If you’re having difficulties repaying your direct student loan then you may be able to qualify for a direct loan forgiveness that is offered through the Direct Loan program. The direct loan forgiveness program is offered to public service employees, who are employed full-time in a public service job during the same period in which the qualifying direct loan payments are made and at the time that the cancellation is granted. The amount forgiven is the remaining outstanding balance of principal and accrued interest on an eligible Direct Loan for a borrower who is not in default and who makes 120 monthly payments on the loan after October 1, 2007.
There are two Direct Loan forgiveness programs, which include the Teacher Loan Forgiveness Program and the Public Service Loan Forgiveness program.
If you are a teacher serving in a low-income or subject-matter shortage area, it may be possible for you to cancel (request for loan forgiveness) or defer your student loans. Make sure to speak with a direct loan representative before your loan is in default stage or before it’s too late to remedy your delinquent loans. You may be able to change your repayment plan, go into payment deferment, or have your loan cancelled (forgiven).
If you work in the public sector, you may also qualify for Direct Loan forgiveness. Through the College Cost Reduction and Access Act of 2007, Congress created The Public Service Loan Forgiveness Program to encourage individuals to enter and continue to work full-time in public service jobs. Under this program, you may qualify for forgiveness of the remaining balance due on your eligible federal student loans after you have made 120 payments on loans under certain repayment plans while employed full time by certain public service employers.
Borrowers interested in a Direct Loan Forgiveness should contact their loan provider and request a Direct Loan Forgiveness Application or they can download a free copy of the application online.
If you are a teacher serving in a low-income or subject-matter shortage area, it may be possible for you to cancel (request for loan forgiveness) or defer your student loans. Make sure to speak with a direct loan representative before your loan is in default stage or before it’s too late to remedy your delinquent loans. You may be able to change your repayment plan, go into payment deferment, or have your loan cancelled (forgiven).
If you work in the public sector, you may also qualify for Direct Loan forgiveness. Through the College Cost Reduction and Access Act of 2007, Congress created The Public Service Loan Forgiveness Program to encourage individuals to enter and continue to work full-time in public service jobs. Under this program, you may qualify for forgiveness of the remaining balance due on your eligible federal student loans after you have made 120 payments on loans under certain repayment plans while employed full time by certain public service employers.
Borrowers interested in a Direct Loan Forgiveness should contact their loan provider and request a Direct Loan Forgiveness Application or they can download a free copy of the application online.
Direct Loan Forgiveness | Direct Loan Teacher Forgiveness Requirements | Direct Loan Public Service Forgiveness Requirements | Direct Loan Forgiveness Application | Direct Loan Deferment
Other Useful Financial Aid Sites: Direct Loan | Direct Loans Forbearance | Direct Loan Repayment | Direct Loan Forgiveness | Direct Loan Application | Federal Direct Loans | Stafford Loan |
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