| The average teaching student graduates with | | | | Individuals with Disabilities Education Act |
| over $18,000.00 in student loan debt. After | | | | (IDEA), or |
| interest is added you could be paying a total | | | | |
| of almost $40,000.00, so it is extremely | | | | - a full-time teacher of math, science, |
| important to make sure you are getting the | | | | foreign languages, bilingual education, or |
| best deal possible with your loan | | | | other fields determined to have a shortage by |
| consolidation. You will probably have both | | | | the state educational agency. |
| federal and private loans but for this | | | | |
| article we will be dealing with only your | | | | The Perkins forgiveness loan is forgiven |
| federal loans. | | | | based on the following scheduled: |
| | | | |
| Grace period - | | | | For full-time teacher |
| | | | |
| One of the benefits to a federal student loan | | | | - 15% for each of years one and two |
| is you don't have to start making payments | | | | |
| until 6 months after graduation. Perkins | | | | - 20% for each of years three and four |
| loans have a 9 month grace period. You do | | | | |
| still gather interest during this time on | | | | - 30% for year five and each successive year |
| your unsubsidized loans so you may want to go | | | | |
| ahead and start making payments anyway. | | | | For full-time special education teacher |
| | | | |
| Forgiveness - | | | | - 15% for each year of service |
| | | | |
| There are a couple programs that offer | | | | Perkins loans are not eligible for |
| student loan forgiveness for teachers. With | | | | forgiveness if they have been consolidated. |
| the Stafford Loan Forgiveness program you | | | | |
| could be eligible for up to $5000.00 in | | | | In addition you may be eligible for |
| forgiveness and up to $17,500.00 if you meet | | | | forgiveness by state. Check for the |
| certain requirements such as teaching math, | | | | availability in your state here. |
| science or special ed to low income students. | | | | |
| Eligibility doesn't start until you have | | | | Consolidation - |
| taught for 5 years, and there are other | | | | |
| requirements such as - | | | | Once you have decided if you will be eligible |
| | | | for forgiveness or not it's time to start |
| - You must not have had active student loans | | | | making those payments. A federal student loan |
| on Oct 1, 1998. | | | | consolidation can help you do that more |
| | | | affordably by extending your repayment term |
| - Your must be employed for 5 consecutive | | | | and lowering your payment and interest rate. |
| complete years and your school must have been | | | | Compare the terms of several consolidation |
| designated a low income school at least the | | | | companies and choose the one who will save |
| first year you taught there. | | | | you the most money and has the best customer |
| | | | service. It can be hard to compare different |
| - You are not in default on the loans you are | | | | types of repayment incentives programs so ask |
| seeking forgiveness for. | | | | for the bottom line - how much will you be |
| | | | paying in total interest. The company should |
| Consolidation will not affect the right to | | | | have actual people available to answer your |
| forgiveness for Stafford loans. | | | | questions and they should be courteous and |
| | | | knowledgeable. You have many choices in |
| The Perkins forgiveness program will forgive | | | | lenders pick one that will deliver for you. |
| up to 100%of your loan if you are: | | | | |
| | | | You must give up what is left of your grace |
| - a full-time teacher employed in public or | | | | period when you consolidate so if you aren't |
| nonprofit elementary or secondary schools in | | | | ready to start making the payments time it so |
| districts eligible for ESEA Title I-A | | | | your consolidation is funded right at the |
| funding, where the percentage of children | | | | end. Generally a consolidation takes 4-6 |
| from low-income families enrolled in the | | | | weeks so you should have your company picked |
| school exceeds 30% of total enrollment, or | | | | out and an application underway by about 4 |
| | | | months after graduation.. |
| - a full-time special education teacher in | | | | |
| public or nonprofit elementary or secondary | | | | Repaying your student loans can be a daunting |
| schools (including teachers of infants and | | | | task but with a little forgiveness and the |
| toddlers) or qualifies professional providers | | | | help of a good student loan advisor we can |
| of early intervention services under the | | | | take some of the sting out of it. |