Student Loan Forgiveness Program
Some students get the opportunity of being in college through the help of student loans. As they study in college, they don’t have to worry much about their tuition, books and living expenses. This all changes once they graduate. It can be stressful for some of them to deal with student loans. Fortunately, student loan forgiveness can get them the help they need. Regrettably, only a few graduates are aware of this opportunity.
Student loan forgiveness programs can eliminate a few thousand dollars to hundred thousand dollars worth of student loan. These programs are supported by the federal government. Some of these federal programs include Stafford and Perkins Loans. If one takes part in these programs, all or part of their loan can be cancelled. At times, the amount cancelled under student loan forgiveness may be taxable. However, don’t be discouraged to use these programs because there are more benefits than risks. To avoid being subject to taxation, an individual’s student loan must have provisions that allow it to be forgiven.
Qualification for student loan forgiveness depends on one’s career choice. They must do volunteer work, partake in military service, practice or teach medicine in certain communities or meet other criteria of the program.
Student Loan Forgiveness Organization
Volunteer organizations like the AmeriCorps, Peace Corps and Volunteers in Service to America (VISTA) offer student loan forgiveness. With AmeriCorps, one has to serve for 12 months to obtain up to $7400 in earnings; in addition, $4725 to be used towards the loan. Volunteers in Peace Corps can get partial cancellation of student loans of 15% for each year of service, up to 70% in total. They are to provide their services for two years in more than 70 developing countries. Volunteers in Service to America (VISTA) require 1700 hours of service wherein volunteers can receive $4725. Up to $10,000 worth of student loan forgiveness is offered to students serving in the Army National Guard.
For students who have chosen a teaching profession, they can serve students coming from low-income families and receive student loan forgiveness. 15% of their loan can be forgiven in the first two years of teaching, 20% on the third and fourth and 30% on the fifth. The loans of law students are forgiven if they serve in public interest or non-profit positions. Student loan forgiveness is also offered to physicians and registered nurses if they practice in areas that are short of adequate medical care. $25,000 worth of loan can be forgiven for veterinarians that agree to work in places lacking their services.
How to get Student Loan Forgiveness
Students conducting clinical medical research can have $35,000 annually of their student loan to be forgiven. Occupational and physical therapists are also offered loan forgiveness by many hospitals and private health facilities. For students who have taken up law enforcement, law, probation and parole, penology, or other related fields; they can get student loan forgiveness by working one-fifth per year as a State Trooper in Alaska. In the state ofMaryland, local government employees earning less than $40,000 every year can acquire loan assistance to study law, nursing, physical and occupational therapy, social work and education.