Federal student loans always have to be paid back. The loan program requires repayment after graduation or six months after the borrower is no longer attending college.
These loans have varying repayment options, including deferring payments if the borrower is unemployed or underemployed.
5 student Loan Forgiveness Programs
Student loan forgiveness offers a few options to the borrower to give them the opportunity to have part or all of their loans forgiven under positive circumstances.
Volunteer Work:
The federal government allows a borrower to volunteer with three separate organizations for a partial and up to total loan forgiveness. Volunteer with Americorps for 12 months and receive up to 25.00 for loan repayment.
Peace Corp volunteers will be granted loan repayment in differing amounts depending on length of service. Fifteen percent of the loan total is forgiven for each year of volunteer status with a maximum number forgiven of 70 percent.
Vista offers the borrower a opportunity to volunteer and receive a partial student loan forgiveness. Volunteer 1700 hours through Vista and receive 25.00 for loan repayment.
Military Service:
Student borrowers have the opportunity to join the Army National Guard and receive up to ,000 for educational loan payments depending on length of soldiery service.
Teachers:
Borrowers that become teachers in schools that have a positive population of low income students may be eligible to receive forgiveness of their Perkins loans. The National Defense instruction Act allows teachers to have loans forgiven at a rate of 15 percent of the loan for each of the first two years of teaching and twenty percent in years three and four. Thirty percent of the loan is forgiven in the fifth year.
No comments:
Post a Comment