Student loan forgiveness: How does it work?

Student loan forgiveness: How does it work?

In one of our previous posts, we discussed student loan forgiveness. When you accumulated a mountain of debt, this seems like the ultimate solution. The truth is that forgiveness programs are prone to changes, making it challenging to have your debts erased. 

How does student loan forgiveness work?

Student loan forgiveness is a plan developed by the government to help students with their loans. To be eligible for student loan forgiveness, they need to meet specific requirements. 

Forgiveness is a different term to discharge, although they might be used in the same context. Forgiveness is when your debt is cancelled because of your job. Discharge happens when you can’t pay the debt due to other reasons. 

Who can qualify for student loan forgiveness?

Different government programs determine who is eligible for forgiveness. One of them targets teachers, with a range of qualifications that they need to fulfil. Other programs include public service workers. Graduates that faced a permanent disability can qualify for discharge.