Federal student loans offer forgiveness options for many college students who are looking to be rid of college debt. While federal student loans do require a specific amount of repayments, there are options for forgiveness down the road.
New legislation from the Obama Administration has changed the way student loans will be offered, in the near future, and the amount of time it takes to obtain student loan forgiveness. However, depending on one’s job, the amount of repayment time required for loan forgiveness to be available is going to vary.
Individuals that are working in public service occupations may qualify for student loan forgiveness after ten years of repayment, if they are enrolled in a Direct Loans repayment schedule, and non-public service workers are eligible to have their loans forgiven after 25 years, but that is set to drop to 20 in the future.
Student loan forgiveness may not be an option for everyone, as they may have their loans repaid before these terms come. However, anyone struggling to make their student loan payments each month may want to look into other assistance options.
Forbearance programs and income-based repayment plans are available through Direct Loans and can benefit anyone with a large amount of student debt, or just student debt that they are having trouble repaying.
The best bet for anyone with student loans and in need of answers about forgiveness or repayment assistance options is to contact their student loan lender and ask about what help may be available for their specific situation.