School Loan Consolidation: Forgiveness Programs

Reduce the Amount of your Student Loan Debt through a Forgiveness Program

Student loan consolidation is all fine and good with respect to making debt repayment for student loans more manageable. What’s even better though is finding a student loan forgiveness program that will further reduce the amount you are obligated to pay.

Debt Forgiveness Programs for Teachers

For example, if you are a teacher with a sizable student loan debt, a good part of that amount can be forgiven and erased through a forgiveness program for teacher student loans. Teachers who work in their profession for five years straight are eligible for repayment of an FFEL (Federal Family Education Loan) or Direct Loan in the amount of $5,000. In addition, if you are a science or math teacher working in a special education program in a secondary institution, you are eligible to receive $17,500 in forgiveness compensation to repay your loan. The idea behind providing forgiveness for student loans is to encourage students to go into occupations that can be hard to staff.

Sign up with the Peace Corps

If you choose to volunteer after college too, you can qualify for student loan forgiveness through several charitable organizations. For example, if you join the Peace Corps, the organization will reduce your loan debt by 15% per year of volunteer service until which point 70 percent of the beginning balance owed has been repaid. Americorps and VISTA each offer a forgiveness program too.

Programs are Offered for Nurses, Law Enforcement Officers, and Military Personnel Too

So, if you want to reduce your loan debt and raise your FICO score at the same time, you might want to look into the various student loan forgiveness programs that are providing remuneration in this regard. Other programs exist for nurses, law enforcement officers, and military personnel. More information can be obtained through your college’s financial aid office.

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