How to Qualify for Student Loan Forgiveness Program

Student loans can be a good future investment or a great burden in the future if they are not well thought of from inception or if abused. If you are planning on taking up a student loan or currently have one, it is imperative that you know how you will repay the loan when the time comes. Remember that in most cases student loans are not discharged from bankruptcy. This implies that ones you take a student loan it will stick with you for the rest of your life unless you repay them. However all is not lost as there are circumstances where Student loans are forgiven or deferred. Here are a few tips on how to qualify for student loan forgiveness programs.

Type of Job You Are In

Find out whether the type of job you are in qualifies for student loan forgiveness. Performing military service, volunteer work and practicing medicine in certain communities is among the jobs that qualifies you for student loan forgiveness program. Also doing community service such as teaching in schools with students from low income families for a period of five years can qualify one for the program. Click here to apply for a loan forgiveness program now.

Submitting Employment Certificate Annually

It is advisable that you instruct your loan servicing company to certify whether your employer qualifies for the program from on an annual basis. Failure to do so you risk finding out when it is too late that your job does not qualify and you might even lose some of the payments you have made over the years.

Type of Loan

There are different types of student loans available and only quite a number of them qualify for the program. Also if you had a different type of loan earlier from what you have now, the best way to qualify is by consolidating the loans. But in this case you might lose the earlier payments prior to consolidation of the loans. Watch to learn more about loan forgiveness.

Enroll in a Repayment Plan

It is important for you to enroll yourself in an income driven program for at least some of the repayments. You can cap your repayment at a certain percentage of your income and keep submitting up to date income information yearly. By doing so you will remain with little amount which can be easily forgiven or you might finishing repaying the loan within 10 years and there will be nothing to forgive.

Unlike other loans, the amount forgiven in the loan forgiveness program is not treated as taxable income. However, if you don't qualify for the loan forgiveness program, remember the only option left is to refinance your student loan to save you from fines.