Federal Student Loan Forgiveness For Teachers – Where to Find the Help
Did you know that you may qualify for teacher loan forgiveness? If you are a teacher, you may be surprised to find out how important your services are to not only educating students, but also to keep their minds stimulated. After all, teachers mold the youth of tomorrow’s leaders. Often times, these are the very leaders who will one day face the school boards and decide what courses should be taught in our schools.
Teaching is a very rewarding profession, and teachers often have years and decades of student debt behind them. However, as hard as it may be, there are times when their student debt takes its toll on their finances. They may be able to apply for forgiveness of some of this student debt, which could potentially save them hundreds of dollars a month. Even if you are not eligible for this particular loan forgiveness program, it is never too late to consolidate your student debt, and get started on paying off your bills.
When you are applying for teacher loan forgiveness for teachers, you may want to consider a payment plan. Many lenders offer a payment plan that allows the borrowers to spread out payments over a longer period of time. For example, the borrower could take advantage of a five-year repayment plan that has a yearly salary increase, with each payment set at a lower amount. In addition to saving money in the long run, this could help to reduce the amount of stress you feel every month because you know exactly what you have left in your pocket for each month.
If you are interested in a payment plan, make sure you research all of your choices carefully. Some lenders will loan you money based on your current income and whether or not you qualify for federal direct loans. Federal direct loans have restrictions that make them different from private student loan repayment plans. Private loan repayment plans have no restrictions; however, federal direct loans have some requirements such as a sufficient cosigner, and a minimum payment each month. Direct loans are not forgive the total debt, they simply forgive the interest.
The next step in your student loan forgiveness for teachers is to find out if you qualify for one of two loan forgiveness programs. If you are a member of an eligible program, you may qualify for a complete federal student loan forgiveness. Direct lenders do not have to report you if you are part of this program, and if you are a highly qualified teacher, you may qualify for subsidized and unsubsidized Stafford Plus loans. These two programs have very similar qualifications, and the major difference between them is the availability of federal funding. Subsidized Stafford Plus loans require the borrower to be fully employed in a teaching position, and unsubsidized Stafford Plus loans require the borrower to be enrolled in a specific post-secondary program.
If you meet the above qualifications, you may qualify for federal teacher loan forgiveness. However, finding out if you qualify can be a hassle. The process requires filling out an application, as well as supplying substantiation of your federal student loans. There is no limit on the number of federal student loans you can have outstanding, so there is also the possibility of exceeding your debt amount. Because of this, your application could take several weeks to reach the processing stage, and you would not know whether or not you qualify until after the application has been sent back to the lender.
You should use your teacher loan forgiveness plan wisely. Use it to pay off those high interest debts, such as for credit cards, car loans, or any loans with high interest rates. If you still need money but can’t repay your debts because you are unemployed, you may qualify for a loan deferment. This will allow you to repay your debts while you wait for a job to become available, allowing you to continue to pay off your debts at a lower interest rate.
To learn more about federal student loan forgiveness for teachers and other income-based repayment plans, complete a free application and submission online. You’ll receive an answer within days, so you can move forward with your new financial status. This service is provided free of charge, so it’s well worth your time. With that in mind, don’t forget to complete your application so you can get on with your life.