Student Loan Forgiveness In certain situations, you can have your federal student loans forgiven, canceled, or discharged. After Biden's announcement on student loan forgiveness - CNBC (I poured through the details Ive seen so far, and I honestly cant tell if Stafford Loan Forgiveness requires teaching at the same school for five complete and consecutive years. Thats when your teaching experience begins. These guys are Government-backed, so you can trust the answers they give, and they give advice for free, so youve got nothing to lose. Not be in default on a subsidized or unsubsidized loan, unless you have already made repayment arrangements with the lender of your defaulted loan. Thank you so much for coming back and sharing your story with me Katie. Unfortunately, according to the information I have, Stafford Loan Forgiveness is only eligible to people with loans issued on or after October 1st, 1998, so yes, you would not qualify for the program. Nevertheless, because blanket loan forgiveness would do nothing to lower the cost of college, and those students entering post-secondary education in 2023 and beyond would still take out loans like before if not in greater volume the outstanding federal student loan debt would likely bounce right back to current levels by 2026. I dont know how that works. Try contacting someone from the Department of Education to ask them about this particular provision, and be sure you can provide them with all of the details about your situation. Do you have to pay taxes on Teacher Loan forgiveness. My reading of that rule would mean that once youve hit that cap, its no longer possible to get any more money from Teacher Loan Forgiveness. Is there a more current application? First off thank you for this blog. This sounds like theyre trying to take advantage of you. According to the rules of the program, you will only count as a Highly Qualified Teacher if you provide direct classroom teaching, or classroom-like teaching in a non-classroom setting (like a library, gymnasium, etc.). Student loan borrowers blast Supreme Court decision on debt Have loans that you want to receive forgiveness on which were not made before the end of your five years of qualifying teaching service. 3. Analysis on the underemployment number in the monthly jobs report. This is my 2nd year teaching at school but my 6th year teaching PE at a qualified low income school. 3. Hooray! I ensured (which teaching) that all my ducks were in a row for the teacher loan forgiveness program. Is that good enough? Blanket Loan Forgiveness Creates a Moral Hazard for Future Students and Borrowers. Loans eligible for cancellation You may be able to cancel up to $5,000 of your Stafford Loans if you are teaching in a low-income school andyou are a "new borrower" you got your first Stafford Loan on or after October 1, 1998. You can reach them here. You will be eligible for up to $17,500 in student loan forgiveness benefits if you can prove (as certified) that you were: If, for any reason, you were or are unable to complete one of your full academic years of teaching within the five consecutive years period, then you may only count that year toward your requirements if: The Federal Government determines which schools count as Low-Income Schools, so even if you think that youre serving at a qualifying institution, youll have to make sure that they agree. If I were you, I would contact whoever is servicing your loan and ask them. Demonstrate competence in all academic subjects that he or she teaches by passing a high objective uniform state standard of evaluation that: Was created by the state to test knowledge of grade-appropriate subject matter and teaching skills, Challenges state academic content and student academic achievement standards, and was developed by core content specialists, teachers, principals and school administrators, Provides objective, clear information to prove the teacher has attained core content knowledge in each of the academic areas that they are responsible for teaching, Is applied uniformly to all teachers in the state who teach the same academic subject and at the same grade level, Takes into consideration the time that teachers have been teaching in their specific academic subjects, Is made available to the public on a by-request basis, Serving as a full-time elementary school teacher who taught mathematics, reading, writing or other elementary school curriculum, or, Serving as a full-time secondary school teacher who taught in a subject area related to your college degree, Serving as a highly-qualified teacher working full-time in mathematics or science at an eligible secondary school, or, Serving as a highly-qualified teacher working full-time in special education, with your primary responsibilities being to provide special education to children with disabilities, You were able to complete at least half of the incomplete academic year, Your employer states (certified in writing) that they considered you to have fulfilled your contract requirements for that academic year in regards to your salary increases, tenure and retirement plan, and. Does this mean that special education teachers dont need a professional certificate? o Has an . I recommend that you contact the Student Loan Ombudsman Group, which is a free service of pro-bono lawyers that answer complicated student loan and student loan debt related questions. You can reach them at 1-888-694-8235. If the Ombudsman cant help (they should be able to), or if you want to pay someone to figure things out for you, and deal with all the paperwork, then call the Federal Student Loan Relief Helpline, which is a PAID, FOR-PROFIT service that you will have to pay to get the work done, but who will handle everything on your behalf. Yes, DL Stafford Loans are eligible for forgiveness. But it wasnt until my second year that I was teaching under a professional license. Yes, Here's How All Settlement Bankruptcy Default Forgiveness Borrowing Refinancing Repayment (BTW, they are a free service, so dont worry about having to pay money for the advice. If your loans are held by multiple lenders, then you will need to submit separate applications to each of those lenders. All theyre really looking for is the statement from someone up your chain of command certifying that you satisfy the conditions of the employment requirements. Sarah Flood, Miriam King, Renae Rodgers, Steven Ruggles, J. Robert Warren and Michael Westberry. You may be able to get the award twice if you had two separate loans to pay off, but I would check with an attorney before considering that a viable option. This is a free, Government-backed attorney service that offers advice on complicated student loan-related legal matters. I know that School 2 has been receiving Title I funds before the 2013-2014 school year, yet it wasnt listed in the directory in prior years. You were unable to finish the academic year because: You returned to postsecondary education on at least a half-time basis to learn about an area of study related to qualified teaching service as outlined above, or, You experienced a medical condition covered by the Family and Medical Leave Act of 1993 (find that, You were called or ordered to active duty status as a member the Armed Forces reserves for at least 30 days. Its definitely worth attempting, because the benefits are excellent. You havent provided nearly enough info to figure out what you are referring to. In 2018, Teacher Loan Forgiveness remains available to thousands of teachers across the country via the Stafford Loan Forgiveness Program. Congratulations!!! Graduate or Professional Student Annual Loan Limit. Im not sure why they would need info about the non-Title I school, but I would provide that to them anyway. However, his school district refuses to certify his student loan forgiveness application because his school is not a Title I School. Also, they are Government-sponsored, so you can trust their opinions.). The program consisted of an internship, too. Thank you so much for your help. In the NCLB Highly Qualified Document a degreed individual who holds a probationary certificate, and is participating in an acceptable alternate route to certification program, including Special Education programs, may be considered fully certified under the highly qualified requirements. Tom Lee is a Data and Policy Analyst at the American Action Forum. Are you aware if you can reapply for state teacher student loan forgiveness in subsequent years if not accepted with your initial application? Not have had certification or licensure requirements waived on an any basis, be that due to emergencies, temporary or provisional reasons. Yes! I think your timeline begins when you became fully licensed, but to find out for sure, contact your loan servicer. Please note that those individuals with PLUS loans are not eligible to participate in the Federal Teacher Loan Forgiveness Program. I am currently an ESL facilitator at a Title I school and recently completed my 6th consecutive year. Whats more, the administrations blanket loan forgiveness plan will be expensive and does nothing to reverse, and only delay, historical trends in outstanding federal student loan debt: By 2026, the total amount of federal student loan debt will likely bounce back to present levels. You'll then undergo a payment system, depending on the subsidy. To obtain contact information for the loan servicer, click on the number in the blue box next to the loan type. My husband is a HQT in mathematics and had a loan forgiven for $8000. Stafford Loans for Students | GovLoans Good luck! Good luck! All Settlement Bankruptcy Default Forgiveness Borrowing Refinancing Repayment Is there some reason they need this to sign my paperwork?? Between student loan repayments and past medical bills, finances are a complete headache. Thanks for your time! Id also like to share the process I went through. Federal Student Aid in an elementary or secondary school that: o Is located in a Title I eligible District; and. ALL special education teachers (with or without the certificate) should be eligible for the benefits. Page 3 of the Teacher Loan Forgiveness application reads: You may qualify for forgiveness based on qualifying teaching service for five consecutive, complete academic years at any combination of eligible elementary schools, secondary schools, or educational service agencies.. Once at that school, I will teach for 5 years as a highly qualified mathematics teacher. I have taught special education for 6 years but the first year I was on a provisional liscense. I feel I am getting hung up on the following requirement and and need clarification, The loan(s) for which you are seeking forgiveness must have been made before the end of your five academic years of qualifying teaching service. Am I not eligible since I have already taught at a title one school for 5 years or now that I have taken out loans I have to teach five more consecutive years at a title one school to be eligible. Hi Tim, My wife had an undergraduate loan that was rolled into her 2006 loan. Take a look and youll see what I mean. I am a highly-qualified secondary science teacher and I just finished my 5th consecutive year at a title one school (2010-2015). And Stafford Loan Forgiveness is no small benefit, because this program provides up to $17,500 in loan forgiveness for teachers who have taken out Direct Subsidized and Unsubsidized Loans, or Subsidized and Unsubsidized Federal Stafford Loans. The rules clearly state that you can qualify for up to $17,500, meaning not $17,500 x 2. She teaches special ed, classroom setting, at a school that was on the low income list for 2014-2015. I was about to give up but it is always good to dig for more information. I just wonder if there is a minimum amount we must pay before the forgiveness begins. Awesome! I had one Stafford loan out from 1997-1998 and took out a Stafford Loan each year. You may need to consult with an attorney to find a solution here. Thanks. Wish I could be of better use here, but weve entered very muddy waters and I dont want to steer you the wrong direction. I read that the student loan forgiveness program for teachers has expired. The link in the information above is not active. In other words, if I take out a loan for a sixth year degree, will I qualify for the loan forgiveness? To be eligible for Stafford Loan Forgiveness, you must agree to teach full-time for five complete and consecutive academic years at a qualifying elementary school, secondary school or an educational service agency that primarily serves low-income families. Blanket loan forgiveness also introduces a new set of disincentives for future borrowers to pay back what they owe, presenting a clear moral hazard. To count as aHighly Qualified Teacher you must: In addition to the requirements outlined above, there are additional requirements that are different for new and experienced teachers at the elementary and secondary school levels. How can I find out if this would qualify for my 5 years of teaching? I worked at a school for 7 years as a Special Ed teacher, the first 3 years the school didnt qualify under the program and the final 4 it did. Please advise/clarify, as I would be most appreciative for you help. Does that qualify me for only the $5,000 forgiveness since my special ed job responsibilities arent full time in itself? I am a highly qualified mathematics teacher in a Title 1 school, all of that information has been confirmed, but loan company is telling me I can only have $5,000 forgiven because I have to owe more than the forgiveness amount. This coincides with the NCLB 200.56 guideline. Are there state loan forgiveness programs separate from the $17,500? First, let me preface this by saying I meet all the requirements as a special education teacher for the $17,500 loan forgiveness (5 years experience, title I school, etc). I have a little different of a situation here. Theyre supposed to be fully-informed or all the forgiveness programs, and they will be legally obligated to help you qualify for one! $20,500 (unsubsidized only). I dont think so, but possibly. In the top right corner of the application is printed: EXP: July 31, 2017. You may want to reach out to your HR Department to ask if they can help clarify the rules. Is there anything I can do? Some FFEL Program loans are held by ED, but most are held by a guaranty agency or a commercial lender. Unfortunately, I think youre going to be disqualified from the program because youve consolidated your loans. Since Stafford Loan Forgiveness is quite complicated, there are bound to be confusions regarding some of the details for how this program works. Teacher contractthough not a teacherin a qualifying school. Google would be your best avenue in looking for those. Today I found out that Nelnet will forgive the remainder of my loans. Im starting at a middle school, that does not qualify, but will be attempting to move to a high school that DOES qualify after 2 years. I was denied Teacher Loan Forgiveness because they said that I did not fill out Section 3: Previous Loan Forgiveness Information correctly. Hi Tim I am trying to sort out the requirements for either of the teacher loan forgiveness programs, the Stafford program and the Perkins loan programs. My undergrad is paid off but I started my masters this summer for which I am taking out unsubsidized loans. Looks like you shouldnt have a problem based on bouncing between schools, districts, etc. I thought there was a six-month grace period upon graduation to start paying back your loansdoes that not pertain here? I am a certified high school math teacher who qualified and received the $17,500 for loan repayment. good standing. I cant seem to get a direct answer and my principal will not sign off on the application until its certain that Im approved. Stay strong and dont give up. If they cant produce it, and have no record of the award having been applied to your account, then you should be good to go. Thank you for this blog, it is very helpful and helps answers a lot of questions!! Thanks for your help. I think some of my loans are PLUS but on my loan reports they are only listed as DLSTFD and DLUNST. I am therefore technically an employee of the agency, not the school. I believe that I should be eligible for the loan forgiveness, except for two things. Its not about a minimum requirement you have to pay, but its based on hitting that five year mark of actually teaching, which then allows you to apply for and receive the $17,500. What student loans are not eligible for forgiveness? - Deseret News The $1.62 trillion figure was the actual outstanding federal student loan debt as of the second quarter of 2022. If you read through this page, and still arent sure whether the Stafford Loan Forgiveness Program is your best option for getting rid of your loans quickly, then you also need to speak with a student loan debt relief expert. Also, my current school receives title 1 funding for special education. I have not, but I think you need to press them on it because it sounds like a ridiculous excuse. Good question here I am not entirely sure if its academic or contract years, so I would check on this with whoever handles HR for your school. Including the provision to increase the amount of forgiveness for Pell Grant recipients, however, would presumably reduce the regressive nature of the program. Ive downloaded the form previously, but just realized it says that it expires 11/30/2007 and the only other one I can find says it expires 5/30/2014. Its full of so much useful information. This is a free service provided by the Federal Government (NOT a lead gen company or consolidation company), and they can advocate on your behalf for legal-related student loan problems. There seems like an additional $5,000 is available; is this true?