Student loan debt is often necessary for many individuals to afford the cost of attending a college or university. While there are various types of student loans one can obtain while in school, some will afford graduates the opportunity to have their student debt forgiven after a set amount of time in repayment. Federal student loans often have the most clear-cut guidelines when it comes to forgiveness options and this can be beneficial for those who have a large amount of student loan debt.
For college graduates who are in a public service related career, Federal student loan debt forgiveness may be available after 10 years of repayment. Direct Loans is the program which oversees federal student loan lending to college students and anyone in a repayment program with Direct Loans may be able to qualify for student loan forgiveness.
Obviously, public service employees will have a shorter time frame when it comes to obtaining forgiveness as many non-public service workers will be required to make payments for 25 years before forgiveness may be available. This amount for nonpublic service workers is set to drop to 20 years in the near future but for many this can also be a very helpful option when it comes to dealing with student loan debt.
Before a graduate can know for sure if they will qualify for a student loan debt forgiveness plan, they will need to contact their student loan lender. While there are options for debt forgiveness, there are also repayment assistance plans that can help individuals who may not have an income that is beneficial when it comes to paying off their debt. For instance, a student loan consolidation, income-based repayment plans, and even forbearance programs are offered to help college graduates handle their federal student loan debt.
Again, student loan debt is often required to meet the rising costs of college tuition but graduates who have obtained a large amount of debt need to contact their lender and talk about repayment options or forgiveness plans that may be available so that student loan debt will not be a problem for years down the road.