Loan forgiveness

[Nat426]

So I have been hearing the if you do 10 years in public service your federal loans can be forgiven. If you serve 10 years in the military does this count as federal service towards this loan forgiveness program?

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[eric275]

So I have been hearing the if you do 10 years in public service your federal loans can be forgiven. If you serve 10 years in the military does this count as federal service towards this loan forgiveness program?

Unless the rules have recently changed, yes it does count. The requirements to qualify when I checked - you must be active and Paying on your loans for 10 years. Years that the minimum payments are not being made, i.e. in residency, do not count.

 

[krmower]

Unless the rules have recently changed, yes it does count. The requirements to qualify when I checked - you must be active and Paying on your loans for 10 years. Years that the minimum payments are not being made, i.e. in residency, do not count.

That is correct. In order for it to benefit you, you would have to do the income based loan repayment - not the standard. If you google search "federal loan forgiveness" you will find all the information you need. As was mentioned above - you have to remain in govt service for 10 straight years making payments every month.

 

[Smills91]

Unless the rules have recently changed, yes it does count. The requirements to qualify when I checked - you must be active and Paying on your loans for 10 years. Years that the minimum payments are not being made, i.e. in residency, do not count.

Must be consolidated into one loan by the proper approved company as well.

 

[krmower]

Must be consolidated into one loan by the proper approved company as well.

Only approved company I was aware of was the Dept of Education. I don't believe you can do it through any other bank or organization.

 

[ALTOSS]

Only approved company I was aware of was the Dept of Education. I don't believe you can do it through any other bank or organization.

True. The feds bought all consolidation loans from private lenders a few yrs ago.