How to Apply For Student Loan Forgiveness (2024)

• Not all types of loans qualify for student loan forgiveness. Make sure you have federal loans like Direct Loans, FFEL, PLUS Loans, or Perkins Loans.

• All your past payments should be properly credited to meet the student loan forgiveness program requirements.

• Student loan forgiveness programs may change, so regularly check for updates from the Department of Education or new options that may apply to you.

In the past 4 years, the Biden administration has forgiven more than $168 billion in student loans for 4.8 million borrowers. And yet, you still have your loans. What gives? Have you missed out on loan forgiveness entirely? Or are there still options for you?

The good news is that you can still apply for loan forgiveness. And this is true whether you’ve had your loans for over years, worked in public service, went to a low-value school like ITT Tech, DeVry, or the Art Institutes, or have a disability that prevents you from working.

If applying for student loan forgiveness feels confusing, don’t worry—this guide will break it down step by step. Whether your loan has grown due to interest, you’ve been paying for many years, or you work in public service, we’ll make the process easier to understand.

We’ll show you how to:

• Check if you qualify

• Gather the right documents

• Submit your application

By the end of this guide, you’ll know how the application process for PSLF, IDR, or any other forgiveness program.

Related

• Did Student Loan Forgiveness Pass? Latest 2024 Updates

• Can You Get Student Loan Forgiveness If You Are in Default?

• Student Loan Forgiveness After 20 Years

If you work for a government or non-profit organization, PSLF may be your best option. As of 2024, this program has forgiven $69.2 billion in loans for nearly 950,000 borrowers.

To qualify, you need to have made 120 qualifying payments (about 10 years’ worth) while working full-time for a public service employer. If you have a Federal Family Education Loan (FFEL), PLUS loans, or Perkins Loans, you may need to consolidate them into a Direct Consolidation Loan to qualify for loan cancellation for this program.

How to Apply:

• Step 1: Verify your employment and loan type. Use the PSLF Help Tool on the FSA website to check if your employer qualifies and confirm your loans are Direct Loans. Related: PSLF Qualifying Employers

• Step 2: Complete and submit the PSLF Employment Certification Form annually or when you change employers.

• Step 3: After making 120 qualifying payments, submit the PSLF application through your loan servicer to have your remaining balance forgiven.

Keep in mind, only payments made under federal Direct Loans and specific repayment plans count toward this forgiveness.

If you’ve been making student loan payments for over 20 years (for undergraduate loans) or 25 years (for graduate loans), you might qualify for IDR forgiveness. More than $51 billion has already been forgiven for long-term IDR borrowers.

For borrowers who’ve experienced deferment or periods of account adjustment due to financial hardship, Income-Driven Repayment plans can still lead to forgiveness after meeting the payment period requirements. Related: IDR Adjustment Delays – Updated Timeline

IDR Plans Include:

• Saving on a Valuable Education (SAVE) Plan: The newest version, replacing REPAYE, caps payments based on your income, with forgiveness after 20 or 25 years. Related: SAVE Plan Forbearance

• Pay As You Earn (PAYE): Limits payments to 10% of your discretionary income, with forgiveness after 20 years.

• Income-Based Repayment (IBR): Older loans may qualify for IBR, with forgiveness after 20 or 25 years.

• Income-Contingent Repayment (ICR): Offers forgiveness after 25 years, but usually results in higher payments.

IDR plans base your monthly payment on your income and family size, making it easier to manage your loans over time. If your income has been low or your loan balance has grown due to interest accumulation, you could still qualify for forgiveness after the repayment period.

How to Apply:

• Step 1: Enroll in an IDR plan through studentaid.gov by submitting an IDR Plan Request Form.

• Step 2: Recertify your income and family size annually to keep your payments aligned with your income.

• Step 3: After 20 or 25 years of qualifying payments, your remaining balance will be forgiven. Work with your loan servicer to submit the final application for forgiveness.

If your school misled or defrauded you, you might qualify for a Borrower Defense Discharge. This program has forgiven $28.7 billion in loans so far, targeting borrowers who were unfairly burdened by student loan repayment due to misconduct by their educational institution. Only federal loans are eligible for this discharge.

How to Apply:

• Step 1: Collect documentation that shows how your school misled or defrauded you (e.g., misleading job placement rates, false accreditation claims, or deceptive financial aid practices).

• Step 2: File a Borrower Defense to Repayment Application through Federal Student Aid.

• Step 3: Provide detailed information and evidence in the application, explaining how the school’s actions directly affected your decision to take out loans.

• Step 4: Wait for a decision from the U.S Department of Education. If approved, your remaining loan balance will be discharged.

Student loan borrowers who are permanently disabled can qualify for TPD. This program has already provided loan cancellation for over $14.1 billion in student loans for eligible borrowers.

If you’re unable to work due to a long-term disability, this program may completely eliminate your federal student loan debt. Only federal loans qualify for this discharge, including Direct Loans, FFEL Loans, and Perkins Loans.

How to Apply:

• Step 1: Provide proof of your disability through documentation from the Veterans Affairs, Social Security Administration, or a physician.

• Step 2: Submit the TPD Discharge Application to your loan servicer along with the required documentation.

• Step 3: Your loan servicer will review your application and may discharge your loans if you meet the criteria.

Related: How to Qualify for Total and Permanent Disability Discharge

You have other options to reduce or forgive your student loans. Teachers in low-income schools may qualify for up to $17,500 in forgiveness. Military members can benefit from programs like SCRA and CLRP, which offer interest rate cuts and loan repayment help.

Many states offer forgiveness programs aimed at specific professions, often working closely with lenders to reduce or eliminate debt for professionals in healthcare, education, or law.

Here’s a closer look at these options:

1. Teacher Loan Forgiveness

If you’re a teacher working in a low-income school or educational service agency, you may qualify for Teacher Loan Forgiveness. This program offers up to $17,500 in loan forgiveness, depending on your subject area and length of service.

Federal Direct Loans and Stafford Loans are eligible for this program, but you must meet specific teaching requirements. Related: Student Loan Forgiveness For Professors

2. Military Programs

In addition to PSLF and disability discharge programs, military members can access several debt reliefs, such as the Servicemembers Civil Relief Act (SCRA), which helps by capping interest rates on federal and private student loans at 6% while you’re on active duty, making sure interest doesn’t add up too fast.

The Military College Loan Repayment Program (CLRP) can also help by paying back part of your federal student loans if you serve in certain branches or jobs. Both programs make it easier for military members to manage their student loans.

Related:

• Student Loan Forgiveness for Veterans

• Military Student Loan Forgiveness & Repayment Programs

• Student Loan Forgiveness for Military Spouses

3. State-Specific Programs

Many states offer student loan forgiveness programs for specific professions, such as Healthcare Student Loan Forgiveness Programs and Lawyer Loan Repayment Programs.

Requirements and benefits vary by state, but they often include partial or full loan forgiveness in exchange for working in high-need areas for a set period.

Check your state’s higher education department or local government website for loan forgiveness programs specific to your profession and location.

Choosing the right student loan forgiveness plan depends on your situation. Here’s a clear breakdown to help you decide:

• Your Career Path: If you work in public service (like government or non-profits), the PSLF program could be your best choice. If you’re a teacher, military service member, or have a disability, one of the specialized programs might be more beneficial.

• Loan Type and Balance: Programs like IDR, under the new SAVE Plan, are designed for borrowers with higher balances or those who need lower monthly payments. If your balance has grown because of interest, the SAVE Plan can help reduce your payments while working toward forgiveness over time.

• Time to Forgiveness: If you’re looking for quicker relief, PSLF may forgive your loans after 10 years, while the SAVE Plan or other IDR options typically require 20 to 25 years. Teacher Loan Forgiveness offers relief after five years, and Borrower Defense can cancel your loans if you’ve been defrauded.

As of September 30, 2024, the “on-ramp” period has ended. This temporary phase, which started on October 1, 2023, allowed borrowers to miss payments without penalties.

Why It’s Important: Missed payments can now be reported to credit bureaus, which could hurt your credit score. Even if you’re waiting for forgiveness approval, your loans are still active, and payments are required to keep your account in good standing.

What You Should Do:

1. Set up Automatic Payments: This ensures you don’t miss any payments while waiting for forgiveness.

2. Recertify Your Income: If you’re on an IDR plan, update your income and family size each year to keep payments affordable.

3. Stay in Contact with Your Loan Servicer: Check in regularly with your student loan servicer for updates on your forgiveness application and to ensure you’re following the necessary steps.

Along with the penalties you might face for missing payments, it’s important to understand how taxes could affect your student loans. You can learn more by checking out this guide: The Tax Implications of Settling Student Loan Debt.

Start by checking if you qualify for programs like the Public Service Loan Forgiveness, IDR, Borrower Defense to Repayment, TPD, or other student loan forgiveness options.

Then, gather your documents—like proof of employment and loan details—and submit your application through your loan servicer or online tools.

Need help? Schedule a 1-on-1 consultation with our student loan lawyers for expert guidance. We’ll make sure your application is complete and accurate. Book your call today and take control of your student loan debt!