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					Title:
Student Loan Forgiveness

Word Count:
654

Summary:
Normally once a student has graduated college, they have about six months
before they need to begin paying back their student loans. However, it is
possible to have some or all of your student loans forgiven. It will
usually involve trading your time in a variety of different ways.

To qualify, you must be involved in volunteer work, serve in the
military, teach in a designated secondary or elementary school for low-
income or special education students or other “teacher sho...


Keywords:
student loans, student loan forgiveness, college loans, loan cancellation


Article Body:
Normally once a student has graduated college, they have about six months
before they need to begin paying back their student loans. However, it is
possible to have some or all of your student loans forgiven. It will
usually involve trading your time in a variety of different ways.

To qualify, you must be involved in volunteer work, serve in the
military, teach in a designated secondary or elementary school for low-
income or special education students or other “teacher shortage areas”,
and meet other various requirements.

Peace Corps volunteers may be able to defer payment on their Stafford,
Perkins, direct and consolidation loans. Also, they can receive
forgiveness for their Perkins Loans. For each of the first two years of
service, 15% can be canceled. Then, for the next two years, 20% can be
canceled for each year for a total of 70% for a four year commitment.

Partial student loan forgiveness through volunteer work can also be
achieved through VISTA (Volunteers in Service to America), a private non
profit group dedicated to the eradication of poverty in the United
States. A one year commitment to VISTA will allow you a $4,725 education
award. Your student loans may be placed in deferment or forbearance while
you are serving.

The Army National Guard has a program called Student Loan Repayment
Program (SLRP)which will provide for forgiveness of up to $20,000 in
student loans. It's available to those who have existing student loans
when enlisting or those who get the loans after joining. This program is
in addition to the Montgomery G.I. Bill benefits and tuition assistance
program. The downside to this is there is a six year commitment.
If the military isn't for you, and you don't really want to be a
volunteer for years just to get rid of your loans, there are a few other
options available.

Student loan forgiveness for either Perkins Loans or Stafford Loans can
be achieved through full-time teaching positions at a low-income school
as designated by the U.S. Department of Education or teaching in certain
subject areas such as special education, mathematics, science, foreign
languages and bilingual education. The chief administrator of the
qualified school at which you taught will have to verify your
participation and completion. Depending on your qualifications, you could
earn forgiveness of from $5,000 to as much as $17,500 in loans.

Certain health care professionals can also have their payments deferred
or totally forgiven with participation in the Nursing Education Loan
Repayment Program. The NELRP will repay 60 percent of the qualifying loan
balance of registered nurses who are selected for funding in exchange for
2 years of service at a critical shortage facility. Those selected may be
allowed to work a third year and receive repayment for an additional 25
percent of their qualifying loan balance. Only about 15% of the total
number of applicants were selected to participate in the program for the
last two years.

The National Health Service Corps Loan Repayment Program provides for up
to $50,000 in forgiveness for qualifying educational loans in exchange
for two years service in a underserved communities. Areas of need
currently are primary care professionals, including dental and mental and
behavioral health clinicians.

There are other, less common ways to become eligible for partial or total
student loan discharge. For example, if the school happened to close
within 90 days of your enrollment and you were unable to finish your
course(s), you may be eligible for a partial discharge of your loan,
dependent on the amount of your expenses. If you did not receive an
expected refund, you may be eligible for forgiveness of the amount of
that refund. If your signature was forged on your loan agreements, your
loan can be forgiven. If you die or find yourself temporarily or
permanently disabled, you may receive student loan cancellation.

If you are thinking about a student consolidation loan, check first
because by consolidating, you may lose the opportunity to have certain
loans forgiven.

				
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