All Branch Topic (ABT) AEGD Residency, Loan Deferment/Forgiveness

[pinwheeels]

I realize this post may only apply to those who received a 3-year or less HPSP or who still have outstanding undergrad loans...

For those who do the AEGD residency in their respective branch, or any residency for that matter, how do your school loans respond during this time? Do they make you start paying back your loan 6 months after graduation since you are on active duty status with the military? Or because you are technically in a residency program, does that count as still attending school and so your loan payments can be delayed until 6 months after completing residency?

Also, for those staying in for a career, has anyone successfully completed the 10-year Loan Forgiveness Program to erase the remainder of what they owed?

---

Members don't see this ad.

 

[AmericanHero]

I had the three year HPSP. You simply inform them that you are still in the residency and they don’t ask for any payments. Counts as though you are still in school and you will make payments 6 months after graduating from the residency. But you have to actively inform the banks of you doing the residency.
I used the 6 months to still make payments because army gives you a steady paycheck and there is no need to accumulate additional interest just because they give you extra time.

 

[pinwheeels]

I used the 6 months to still make payments because army gives you a steady paycheck and there is no need to accumulate additional interest just because they give you extra time.

Perfect, thanks for the response, just what I needed to know. By the way, when you make payments early, does it all go toward principle, or do you have to specify this?