Why You Should Apply for a Student Loan Forgiveness Program
Majority of college students are left with no other choice but to apply for a loan in order to secure their future. This seems like a good plan at first but what happens if you end up getting a job that does not pay well? The best option for those people who are having a hard time paying their remaining student debts is to apply for a student loan forgiveness program. The goal of this program is to help those people working in the public service sector by “forgiving” their remaining debts. This act was passed by the congress on October 1, 2007. Yes, it is true that the student loan forgiveness program has strict stipulations and conditions, however, a lot of people who have a low-paying job still benefit a lot from it. If the type of student loan you have are Federal Direct Plus loans, Federal Direct Consolidation loans, and even Federal Direct Stafford loans, then you are eligible for this said program.
If you are holding a public service job and you have successfully paid 120 times for any of the loans mentioned earlier in this article, then you can apply for the student loan forgiveness program. Some of the public service jobs that qualifies for this program are the following: police force, military, public health, education, and other government-related jobs (excluding serving in Congress/ Senate). Public school librarians and tribal college instructors also made it to the list.
Since this program only started on October 1, 2007, any payments earlier than this date will not be counted. It is also NOT permitted for one to use an extended repayment plan or a graduated repayment to qualify for this program. Every payment must also be made while you are still employed for any of jobs mentioned earlier, otherwise, they will reject your application. In case you decided to quit your job while paying your loan, you will not be eligible to apply for the student loan forgiveness program.
The student loan forgiveness program will definitely benefit you a lot especially if you are only starting to work and you do not earn a lot to make a living. Yes, the program’s stipulations and conditions may seem daunting at first but it is NOT really that hard to qualify. For as long as you do not do anything that will jeopardize your job and that you plan to work for an extended period of time, this task will be a piece of cake for you. The time and effort you will spend applying for this program will definitely be worthwhile because it will free you from your financial obligations. This is the type of program that you must never ignore.