Student Loan Debt
When it comes to student loans, almost everyone has at least one that they can’t seem to get rid of. There are numerous ways to approach debt, but student debt is the hardest to take care of. Getting a good education and getting student loans is a step towards investing in your future stability. It also gives you an edge over other people without your training and learning, but there are a few things you should know about when considering how to get rid of your student loans. To begin with, you cannot declare bankruptcy and have them go away. This means that unless you are actively paying on your debts they will not just go away. There are ways for them to be reduced, deferred or forgiven completely, but those are special cases that are not available to everyone. Refinancing your loans is something most people can do and most lenders are willing to work with to reduce personal debt and make sure they get paid.
Ways to Get Help For Your Student Loan Debt Public Service Loan Forgiveness.
If you work in public service for ten years or more and you have made at least 120 payments than you can be eligible for loan forgiveness. If you work in any of the following sectors you should look into this:
- Government Workers (Local, State, and Federal).
- Emergency management.
- Military Service.
- Public Safety or Law Enforcement.
- Public Health Services.
- Teachers.
- School Library and other school-based Service.
- Public Interest Legal Service.
- Early Childhood Education.
- Public Service for the disabled or the elderly.
The Service cannot be a labor union or a political party, but if you are working in any of these fields you may want to check to see if you are eligible.
- State-based Student Loan Forgiveness Programs.
Out of all the States in the Union, 46 offer student loan debtforgiveness or assistance for some loans. These programs are slightly different for each state and have different requirements. Generally, you have to live and work in the same state, sometimes the same area, but also require you to work in certain fields. You will need to look up loan forgiveness for your state or residence to get more details.
- Volunteer work.
Some types of volunteer work can be a huge commitment and time draw on your life. They sometimes offer help with student loan debt as an incentive for giving them your time and efforts. Volunteer for the Peace Corps or Americorps can get you automatic deferments on your loans and in some cases reduce them. They will also help you consolidate your loans to make it easier for you to pay on them in the longer term while you serve your country abroad or help in other ways. VISTA awards up to $5000 loan assistance if you sign up to help them.
- Military Service.
Joining the military is not just about servicing your country. It is about giving back. It can also get loan forgiveness as each branch of the military offers student loan assistance or complete forgiveness for signing up with them.
- Taking a Teaching Job.
Becoming a Full-time teacher is giving back to your community and helping the next generation to succeed can be rewarding. It can also get your student loan forgiveness if you teach in an elementary or secondary school that services low-income families. If you are not completely eligible, you can get up to 30% off your student loans by your fifth year of teaching in a low-income school.
- Go to Law School.
Many law schools will help students with loan forgiveness or repayment assistance when you are accepted into a law school program. There are limitations to this though. This is only available if you have certain income limitations or engaged in a specific type of employment. Currently, 23 states off loan assistance programs though more are in the works. Check with the American Bar Association for more information about getting into law school and what it means for your student loans.
- Medical School
Getting into medical school and becoming a full-time student will not only advance your career but also give you several options for loan assistance or forgiveness. Many students forego medical school because of the costs associated with attending. There are programs to help you continue your studies and get that master degree in nursing or become the doctor you want to be.
There are two programs offered by the U.S. Department of Health and Human Services that offer loan forgiveness. These are:
- National Health Service Corps: If you complete at least five years of service in providing medical care in “needed” areas that you can be eligible to receive up to 170,000 in student loan repayment.
- Nursing Education loan. This repayment program is for those that complete at least two years of nursing services at a qualifying non-profit. You can have up to 60% of your loan forgiven. For three years or more you can have an additional 25% forgiven.
If you wish to pursue research, the National Institute of Health will repay up to $35,000 of student loans for conducting research at a non-profit university or at the National Institute of Health itself.
- Other Ways.
Student Loan forgiveness is only available on Federal Student Loans. If you have loans through a third party like a bank or a credit union you will still be responsible for paying on those. If you need assistance to talk to your lender about refinancing your loan and adjusting your payments so you do not fall behind or find the burden too heavy to carry. You can also try taking a second job or going back to school for more education. While none of this solves your student loan problem, you will get more tools and education to manage it. Either way, make sure you keep communicating with your lenders. They can help you if you start to have difficulties.
