A growing trend in recent years has been for most employers to provide student loan repayment assistance as an employee benefit. Unlike tuition remission (which was on the market for several years) student loan repayment assistance isn’t a new idea, but one that is quickly gaining in popularity. Why is repayment assistance such a sought after perk?
One of the main reasons behind this program is that many employers are beginning to realize how important it is for their businesses to be solvent. Cutting costs anywhere possible is important to the bottom line, and student loan repayment assistance can be just what employers need to help them keep their businesses viable. The program works by allowing the employee more time to repay their loans. This means less late fees and significantly less interest is paid over the life of the loan.
Not all employees will qualify for student loan repayment assistance. It’s important to see if you do qualify. When you apply, it’s required that you have all of your tax returns for the past two to three years. Also, it’s required that you have no other student loan debt and also that you reside in the United States.
When an employee applies for student loan repayment assistance, their chance of approval are based on their financial status. The most important factor considered when determining eligibility is the gross income of the applicant. For an employee who is still employed, their gross salary is used. If the applicant is unemployed, they are not considered for repayment. They may still qualify for a subsidized plan, if their income is too low. However, if they fall into the lowest income group, their chance of receiving assistance drastically reduces.
If you are unemployed, you should immediately begin looking for student loan repayment assistance. If you think you may qualify, you should begin looking for a program that fits your specific circumstances. For example, you may qualify if you have a dependent child or have health insurance through your employer. You may also qualify if you have low credit scores and/or if you belong to a low-income group.
To find out if you may qualify for this type of student loan repayment assistance, you should contact the human resources department of your employer. Your HR department will be able to tell you if you qualify for employer assistance. Usually, the money comes from the company that you are working for. In some cases, the money comes from federal funds or state funds. It depends on the particular situation of each individual employee.
There are many people who receive this assistance and find that the amount of money they receive far exceeds the amount they need to pay back. In some cases, the amount of the assistance required is far greater than the amount of money available. That is why it is important to keep in contact with your human resources department to find out if you qualify for student loan repayment assistance. In most cases, you will qualify for at least some of the assistance provided. In some cases, your employer will provide all or part of the funding you need.
Some students mistakenly believe that they cannot qualify for this student loan repayment assistance program. However, you should know that many colleges and universities offer assistance for the repayment of your student loans. In addition, there are many non-profit organizations that provide the same types of services. The important thing is to make sure you are applying for the right type of assistance. If you apply for the wrong type, it could end up being more costly than you anticipated. So be sure you understand the repayment plan as well as the requirements of each type of program.