Loans play an importantly indisputable role towards progress in various aspects of your life. The responsibility of repaying your loans belongs to you as the borrower. Under certain unavoidable circumstances, it can prove to be cumbersome to execute the responsibility. Your life will definitely be affected when you find yourself struggling to service a chain of loans with a low income employment or and at the same time you are disabled or suffering from a life threatening disease. Your savior from the financial burden is the loan cancellation programs now in place. Even if you have taken a loan to pay for some line of education that you do not any more, the remaining balance can be cancelled if you request. You will can get your loan cancelled by ant of the four loan forgiveness programs upon application.
Public service loan forgiveness program is the first one. The nature of employees who qualify to apply for this program include military officers, nurses, teachers and fire fighters and many more. There are however, some factors which are taken into consideration when assessing your eligibility for the benefit of the program. All those employees working in the government or in a non for profit organization and have repaid their loans without default for ten consecutive years are eligible for the program upon application. One unique feature about the program is that for the loan to qualify under the same, it must be a state direct type, although there are options of tying all other student loans into one for them to qualify as well.
The other alternative loan forgiveness program is the income driven loan forgiveness program. With income driven loan cancellation program you will save a lot of money since you will be allowed to pay a portion of the regular monthly repayment for your outstanding loan. Income based repayment, income contingent repayment, pay as you earn and revised pay as you earn are the four main arrangements under the income driven loan cancellation program. There are conditions which you must meet for you to qualify for either of the four types of income driven loan cancellation programs. As long as you have been able service your loans for a minimum of twenty years, and have quite huge loan balances, you stand to qualify for the cancellation.
The other attractive program is teacher loan forgiveness program with targets teacher only as its name suggest. As a teacher, for you to qualify for the benefit of the program, you must have worked as a teacher for five consecutive years. A certain sum amount of money will be taken off from your loan burden. It is however for those teachers who are working in low income public elementary and secondary schools and have got direct loans and Stafford loans.
Perkins loan cancellation is the fourth one. If you are a government staff and you have served for not less than five years, you stand to qualify for the program. One hundred percent of their outstanding loan is cancelled.
You will save a lot of money if you apply for any the four types of loan cancellation programs.