What is College Loan Forgiveness?

Due to the economic crisis in America, middle-class and poverty stricken families are becoming increasingly concerned with providing an education for their college bound teenagers. With the cost of education on the rise, parents look for any way of ensuring a good future for their children. One method of paying for college is to get federal or private loans, such as a parents PLUS loan, a Subsidized Stafford or a Perkins Loan. Of course, there’s a draw-back in getting such loans. For a college loan is just that, a loan. A loan which must be repaid after college is completed. After attending anywhere from two to ten years in college, many graduates, along with their families, are overcome with college debt. The monthly payments can be overwhelming. And if the debt is a federal loan, such as the Stafford Loan, then it’s nearly impossible to get out of paying the money back. This is where searching for any method of college loan forgiveness is useful.

College loan forgiveness is the process of eliminating college loan debt. How much is forgiven varies. There are numerous methods. Seeking employment in public service is one such method. In 2007, the College Cost Reduction and Access Act was established to aid public service graduates with low income jobs and high loan debt. And while there are numerous restrictions, on the plus side, any remaining college loan debt is discharged after ten years of working full-time in public service. Another method of achieving college loan forgiveness is through volunteer work. Through volunteering, a graduate can help their community or the world. And the graduate can be rewarded, and not just with personal enrichment! A graduate can receive partial forgiveness on their college loans by enrolling in programs such as AmeriCorps VISTA (national program of volunteer service aimed to fight poverty in America) or the Peace Corps (volunteer program whose aim is to promote world peace through aiding people in developing countries).

Other methods include teaching in needy areas, or joining the Army. And so, there are many ways to obtain college loan forgiveness. Therefore, parents and students should not be deterred from seeking a college education even in these financially trying times. All it may take is a willingness to serve the community.