Student Loan Forgiveness Changes

What:

  • US Department of Education’s (DOE) Public Service Loan Forgiveness (PSLF) program is now allowing church or ministry staff eligibility to receive student loan forgiveness.

  • Previously, religious work was not considered “qualifying work.”


To Qualify:

  • Be employed full time by one or more nonprofit organizations for 30 or more hours a week

  • Have Direct Loans or consolidate into a Direct Loan (private lenders do not qualify)

  • Have made at least 120 qualifying payments (10 years, but not necessarily consecutive)


When:

  • PSLF was effective starting October 1, 2007

  • Updated July 1, 2021, to allow retroactive ministerial hours


How:

  • Fill out and submit the PSLF & Temporary Expanded PSLF (TEPSLF) Certification & Application (PSLF form)

  • Be working for a qualifying employer at the time you submit the form and at the time the balance on your loan is forgiven.

  • Note: Even if you don’t yet have 120 qualifying payments, your loans will transfer to the PSLF servicer who will help you with the process!


For more info, check out the Federal Student Aid website.

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