Various student loan forgiveness programs are available, depending on the loan type and specific conditions borrowers need to meet.
The two main categories of loans eligible for forgiveness include:
Federal student loans
Offered by the U.S. Department of Education, federal loans typically have lower interest rates and more flexible repayment options compared to private loans.
Alabama borrowers, like those in other states, can qualify for programs such as Teacher Loan Forgiveness, Public Service Loan Forgiveness (PSLF), Income-Driven Repayment (IDR) Plans, and Military Service Loan Forgiveness Programs.
Each program has distinct eligibility criteria and forgiveness terms.
Some states offer their own student loan programs with unique forgiveness options for residents. Alabama has a state-specific loan forgiveness program designed to encourage graduates to pursue specific careers in the state, which we will discuss in the next section.
Related: How to Apply for Student Loan Forgiveness