If you’re a full-time teacher, social worker, nurse, nonprofit employee or any other qualified public service worker, you may be able to completely eliminate your student loan debt upon the completion of 120 successful payments. Congress designed this Public Service Loan Forgiveness Program to encourage and reward individuals working full-time public service jobs.
If you teach full-time for five complete and consecutive years in certain elementary/secondary schools or educational service agencies that serve low-income families, and you meet additional qualifications, you may be able to receive loan forgiveness for up to $17,500 on your Direct Subsidized and Unsubsidized Loans and your Subsidized and Unsubsidized Federal Stafford Loans.
Can you no longer work due to a mental or physical disability? If you are disabled and meet specific qualifications, you may be eligible to have all of your Federal Student Loans discharged under the Total and Permanent Disability discharge program.
An estimated 1.6 million student loan borrowers will be able to cap their monthly payment at 15 percent of their income by enrolling in income based repayment (IBR).
If you don’t choose a different repayment plan, all of your Federal Loans will be set under a Standard Repayment Plan. Monthly payments are calculated based on the size and term of the loan. The length of the term is always based on the size of the loan.
A Direct Loan Consolidation combines your loans, allowing you to pay ONE monthly payment on all of your student loans. Receive a lower monthly payment based on factors like income, family size, and/or the total amount of your Direct Loans.