Repayment Options

Repayment Plans – Federal loan programs offer several different repayment plans (for example graduated and income sensitive), one of which should suit your needs. You should talk to your lender directly about which of these plans works best for you.

Deferments & Forbearances – You may be able to make no payments (deferment) or interest-only payments (forbearance) for a while. Talk to your lender directly about whether you qualify for these options.

Loan Forgiveness

There are a growing number of opportunities to have part of your Federal Education Loans (Perkins, Stafford, PLUS, and Consolidation) forgiven. A listing of the programs and their qualification criteria are below:

FinAid.org and NYS HESC provide exhaustive information and links for several forgiveness programs such as:
• volunteer work (AmeriCorps, Peace Corps, VISTA)
• military service
• teaching
• child care providers
• social work and nursing
• legal and medical studies or work
• state, employer, and institution-specific forgiveness programs

The US Department of Education also provides information on:
• Teacher Loan Forgiveness Program for Federal Stafford, PLUS, and Consolidation loans
• Teacher cancellation program for Federal Perkins Loans
• Child Care Provider loan forgiveness program for Federal Stafford, PLUS, and Consolidation loans – scroll to the bottom of the page

Loan Discharge/Cancellation

The US Department of Education and NYS HESC also provide information regarding your ability to have your Federal education loan debt discharged or reduced for certain circumstances.