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Wednesday
10:00 a.m. - 4 p.m.
Thursday - Friday
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Loan Cancellation

In some cases, you can be released from all of your obligations to repay your federal student loans or a limited amount of the loan. Below is a list of such circumstances:

Borrower’s total and permanent disability or death
Working as a full-time teacher for five consecutive years in a designated elementary or secondary school serving students from low-income families. Search for low-income schools in any state.
Bankruptcy (in rare cases).
Closed school (before student could complete program of study) or false loan certification.

For more information about cancellation, contact the lender or agency that holds your loan. If you have a Federal Perkins Loan, contact the school that made you the loan.

For those of you going into the teaching field, there is an Act called the "Taxpayer-Teacher Protection Act of 2004". It authorizes up to $17,500 in loan forgiveness for new Federal Stafford Loan borrowers under the Federal Family Education Loan (FFEL) Program and Federal Direct Loan Program who meet certain criteria. For a Stafford loan borrower to qualify for loan forgiveness of up to $17,500, the borrower must be employed full-time for five consecutive years as a highly qualified secondary school teacher of science or math or a highly qualified elementary or secondary school special education teacher. A special education teacher in an elementary school or secondary school for purposes of loan forgiveness is a special education teacher whose primary responsibility is to provide special education to children with disabilities, as those terms are defined in section 602 of the Individuals with Disabilities Education Act. The chief administrative officer of the public or non-profit private elementary school or secondary school in which the borrower is employed must certify that the borrower is teaching children with disabilities that correspond with the borrower's special education training, and has demonstrated knowledge and teaching skills in the content areas of the elementary school or secondary school curriculum that the borrower is teaching. As under prior law, the borrower must teach in an elementary or secondary school that:

is in a school district that qualifies for funds under Title I of the Elementary and Secondary Education Act of 1965, as amended;
has been selected by the U.S. Department of Education based on a determination that more than 30 percent of the school's total enrollment is made up of children who qualify for services provided under Title I; and
is listed in the annual Directory of Designated Low-Income Schools for teacher cancellation benefits.

Teacher Loan Forgiveness Application (PDF)

Teacher Loan Forgiveness Forbearance Application (PDF)

Application

For a new Stafford loan borrower to qualify for loan forgiveness of up to the previously authorized level of $5,000 after the date of enactment of P.L. 108-409, the borrower must now be a highly qualified teacher, as defined in section 9101 of the Elementary and Secondary Education Act of 1965, and employed full-time for five years in an elementary or secondary school that meets the above standards for inclusion in the annual Directory of Designated Low-Income Schools. A revised "Teacher Loan Forgiveness" application form is currently being developed and will be made available shortly. If you have any questions please contact our Customer Service Call Center at 1-800-433-7327. After hours calls will be accepted by an automated voice response system. Callers leaving their name and phone number will receive a return call the next business day.