Posts Tagged ‘loan cancellation’
How Does the Government Pay Off Student Loans?
| 
Author: The government doesn’t automatically pay off student loans. However, there is a Federal Student Loan Repayment Program, administered via the Office of Personnel Management (http://www.OPM.gov) that can pay off up to $60,000 worth of federal student loans for people who work for various federal agencies. To learn more about this program, read these two posts:
You may also qualify for loan forgiveness, or loan cancellation, based on working in a service industry, teaching or performing community service. See all the qualifying reasons you can get a student loan cancellation, and the reasons you can’t, by reading this post: http://askthemoneycoach.com/2009/09/school-loan-cancellation/
Related Questions:
- looking for government loan opm
- how does the government pay off student loans
- can the government payoff student loans
- opm pays student loans
- opm loan payoff
- opm credit check debt
- negotiate payback student loan opm
- loan places advertised by russ parr show
- how to get the federal government to pay off up to $60 000
- how to ask your government to pay off loans?
- does the government pay off student loans
- did the govt pay off student loans
Posted in Financial Planning, Resources, Saving Money, Student Loans | 
Tags: Budgeting and Money-Management, college debt, Credit and Debt, debt, Federal Student Loan Repayment Program, Financial Planning, loan cancellation, loan forgiveness, money management, OPM.gov, Resources, Saving Money, Spending Money Wisely, Student Loans, Zero Debt For College Grads | 
No Comments »School Loan Cancellation
A couple of Facebook fans who recently heard me on the Russ Parr Show have asked me to elaborate on the Student Loan Cancellation Program.
Under federal law, you can get your federal student loans canceled or discharged for many different circumstances.
Reasons for loan discharge:
- Death
- Total and permanent disability
- School-related issues or improper certification by your school
- Full-time teaching or public service work
- Military service
- Bankruptcy
Before I explain the nuts and bolts of what’s required for these various loan cancellations, let me first say that there are a multitude of scenarios that won’t get you a loan discharge.
Reasons that won‘t get you a loan discharge:
- If you dropped out of school for any reason
- Experienced personal problems that forced you to abandon your studies
- Didn’t like your instructors
- Couldn’t get a job after graduation
- Were plagued by financial difficulties
- If you thought the quality of the instruction you received was sub-par
None of those reasons will hold weight with the Department of Education.
Perseverance Required
Let me also caution you that getting a student loan canceled or discharged is rare and often requires tremendous perseverance, know-how, and work on your part.
Having said that, even though obtaining a discharge can be a big hassle, it is nevertheless certainly worth the effort and frustration you may experience in the process.
For more details, below are some links to previous articles which I have written regarding this topic:
- How to Qualify for a Student Loan Cancellation or a Student Loan Discharge
- Student Loan Cancellation Due to Death
- Student Loan Cancellation Due To Disability
- Student Loan Cancellations for School-Related Issues and False Certification
- Student Loan Cancellations for Teaching and Community Service
- Student Loan Cancellation and Discharge for Military Service
- Student Loan Cancellations In Bankruptcy Are Rare – But Possible
- Law School Loan Forgiveness
- Health-Care Related Loan Forgiveness
