F or many college graduates, the student loan repayments that follow graduation day create far more stress than anything they experienced on campus.
It’s an empty feeling – logging into your bank account and seeing yet another small fortune sucked out by student loans. And that’s before you even start thinking about how much is left to go, or how your loan will follow you around like a shadow until it’s finally paid off.
Thankfully, there are proven ways for you to finalize your debt in as few as 10 years. One of these is with a student loan forgiveness program, where your debt can be cancelled or ‘forgiven’ if you meet a set of predefined criteria.
Public Service Loan Forgiveness is one of these programs. And it’s a very attractive one – especially for those who want to fast-track the moment they get to kiss their student loan debt goodbye.
If you have a high loan balance and regularly find yourself struggling to breathe with your current payments, Public Sector Loan Forgiveness could be the golden ticket you’ve been looking for.
What is Public Service Loan Forgiveness?
The Public Service Loan Forgiveness program (PSLF) is a national program that was introduced in 2007 to attract more college graduates and other workers to jobs in the public-sector.
There are two basic requirements you need to fulfill in order to qualify for the Public Service Loan Forgiveness program:
- Make a total of 120 monthly loan repayments (10 years) while working in the public sector or for a not-for-profit organization, and
- Have a loan and a repayment plan that qualify for the program.
If you meet these requirements, the remainder of your debt will be ‘forgiven’ meaning you won’t have to pay back another cent. In other words, if you have a debt of $120k which would normally take you 20 years to pay off, it could be settled in 10 years with PSLF. That’s a pretty good deal.
If you have a high loan balance and regularly find yourself struggling to breathe with your current payments, PSLF could be the golden ticket you’ve been looking for.
Which types of employment qualify for the program?
Perhaps the best part of the PSLF is the wide range of employers and job types that are included.
The public sector includes employment with any federal, state or local government agency, entity or organization. You can even work for a non-profit.
Think government work, military service, law enforcement, public health, teaching, public education and public libraries. There are many opportunities available that could be a great fit for your skills and interests.
Once you reach 120 repayments while working in one of the qualifying jobs, it’s as easy as submitting an application to receive your loan forgiveness.
If you’re singing the bank account blues every time a repayment is made, qualifying for the Public Service Loan Forgiveness program could be a great way to manage your student loan debt and put the payoff date in sight. It may still be thousands of dollars away, but the peace of mind that comes from being able to count down the days with confidence is priceless. For more information you can visit the Department of Education’s website.