Student Loan Forgiveness applications open this month

NOW: Student Loan Forgiveness applications open this month

ST. JOSEPH COUNTY, Ind. -- Student loan debt forgiveness could be coming soon for hopeful Americans, with the federal application set to open this month.

The initiative could potentially wipe out up to $10,000 of student debt per eligible applicant.

While many have the desire to apply for debt forgiveness, it’s important to make sure you are eligible first.

Recent modifications have been made to the requirements to ensure as many people as possible can have a chance to apply.

As of right now, only borrowers with federal loans quality for the loan forgiveness.

Your individual income must be less than $125,000 per year, or $250,000 per household.

Those who were recipients of the federal Pell Grant are able to get up to $20,000 in debt removed, while others get up to $10,000 forgiven.

In a new addition to the list, public service workers with at least 10 years of service may be eligible to have all of their student loan debt forgiven.

On the other hand, those who make too much money or have private loans are not set to be included in the forgiveness plan.

Here’s what you can do if you find yourself in the same boat as many others who don’t qualify: first, it’s worth taking a second look at the qualifications to ensure that you are not eligible to apply.

Refinancing a private student loan can also offer many benefits, like the possibility of lower interest rates and potential savings over the life of a loan.

There are also numerous student loan forgiveness programs already in existence that you may quality for, such as the Public Service Loan Forgiveness or the Income-Driven Repayment Plans.

While there is still no specific day the application is set to open, those interested will need to have their applications completed and submitted by October 31st.

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