Let’s just get it out there. Public Service Loan Forgiveness is one of the greatest programs out there that there is. As it currently stands, you are able to make 120 payments under a qualifying plan and after those payments you have the remainder of your debt forgiven. Better yet, none of what is forgiven is taxable!
This is done for an obvious reason. School is expensive and often times going into a public field may be avoided because the loans are such a drag. Programs like these are created to keep people from being discouraged due to their loans from entering such a field and reward your work for others.
PSLF also brings many questions. Do all plans qualif (no its very particular!)? Can I work at more than one employer (yes actually!)? Can I make lump sum payments (only really in one condition!)? We are going to try and tackle all these issues and much more during this two week segment.
It is so complicated that the government decided to award the entire contract to just one servicer so as to streamline the operation. That servicer is FedLoan Servicing. There is a wealth of information available on their website as much of what I am discussing is from resources such as http://www.myfedloan.org/manage-account/loan-forgiveness-discharge-programs/public-service-loan-forgiveness.shtml?src=tertiaryAd and the Department of Educations FAQ’s along with other information I’ve picked up day to day dealing with the topic even if not directly.
Since FedLoan is the designated servicer on this, it is best to talk to them with any major issues. They have a line dedicated exclusively to PSLF at 855-265-4038.