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. There are however exceptional situations which require that you get relief from repayment of your loans. 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. You will get relief from the headache of paying for an education you now do not like. You will can get your loan cancelled by ant of the four loan forgiveness programs upon application.
The common program of the four is public service forgiveness program. Public servants such as teachers, nurses, fire fighters and military personnel, just to mention a few, can qualify for the benefits of the program. Before your request for cancellation of the loan outstanding, there are special conditions that you must meet. The condition is that, at the time of application, you must have faithfully serviced your loan for at least ten years, as long as you are working in a government department or in a non for profit organizations. One other special condition you must meet is that the loans for which you are applying for cancellation, have to be direct loans and remember that you have a chance to consolidate your student loans in order for them to be under public service forgiveness program.
Income driven loan cancellation is the other special 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. You will get to benefit from any of the four alternatives under income based loan forgiveness program, which include, pay as you earn, revised pay as you earn, income contingent repayment, and income based repayment. Income driven loan cancellation arrangements come with conditions as well. 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.
Thirdly is teacher loan forgiveness. As a teacher, for you to qualify for the benefit of the program, you must have worked as a teacher for five consecutive years. The unique benefit with teachers loan forgiveness program is that the loan burden is reduced by some specific amount of money. Moreover, as long as the applicant is working in a low income primary of secondary school, there are high chances of qualifying.
The last program in the four is the Perkins loan forgiveness program. If you are a government staff and you have served for not less than five years, you stand to qualify for the program. Interestingly, this Perkin loan cancellation program, the whole amount of loan outstanding is done away with.
The four types of loan cancellation programs can offer you a huge amount of relief from your loan burden.