Teacher Loan Forgiveness rewards educators who serve in low-income schools by forgiving up to $17,500 in federal student loans after five consecutive years of qualifying service.
Program Overview
Key program features:
- Up to $17,500 forgiveness for qualifying teachers
- Requires 5 consecutive years of service
- Must teach at low-income schools
- Available for Direct Loans and some FFEL loans
Eligibility Requirements
Loan Requirements
- Direct Subsidized and Unsubsidized Loans qualify
- FFEL Subsidized and Unsubsidized Loans qualify
- Loans must have been disbursed after October 1, 1998
- PLUS loans do NOT qualify
- Private loans do NOT qualify
Teaching Requirements
- 5 complete consecutive academic years of teaching
- Full-time teacher status
- Highly qualified under state standards
- Taught at eligible low-income school
Forgiveness Amounts
Up to $17,500
Highly qualified teachers in:
- Mathematics
- Science
- Special education
Up to $5,000
Highly qualified teachers in:
- Elementary education
- Secondary education (non-math/science)
- Other subject areas
Qualifying Schools
Schools must be designated as low-income, meaning:
- Elementary or secondary school served by a local education agency
- Qualifies for Title I funding
- Listed on Teacher Cancellation Low Income Directory
- Educational service agency serving low-income students
Check school eligibility at the Teacher Cancellation Low Income Directory.
What Counts as Highly Qualified
To be "highly qualified" you typically need:
- State teaching certification
- Bachelor's degree
- Demonstrated subject matter competency
- Meet state licensing requirements
How to Apply
- Complete 5 consecutive years of qualifying service
- Obtain Teacher Loan Forgiveness Application
- Have chief administrative officer certify your service
- Submit to your loan servicer
- Continue making payments until approved
Teacher Loan Forgiveness vs. PSLF
Teachers can use either program—or both—but with restrictions:
Teacher Loan Forgiveness
- 5 years of service required
- Maximum $17,500 forgiveness
- Limited to specific loan types
- Teaching years cannot count toward PSLF simultaneously
PSLF
- 10 years (120 payments) required
- Unlimited forgiveness amount
- Works with income-driven repayment
- Teaching at public schools qualifies
Strategy consideration: For large loan balances, PSLF may provide more forgiveness. Use Teacher Loan Forgiveness first if loan balance is under $17,500 and you plan to continue teaching.
Combining Programs
You cannot count the same years for both programs, but you can:
- Use Teacher Loan Forgiveness for first 5 years
- Then pursue PSLF for remaining 10 years
- Total: 15 years of service, both forgiveness programs
This approach works well for teachers committed to long careers in public education.
State Teacher Loan Programs
Many states offer additional teacher loan assistance:
- Loan repayment assistance programs
- Service scholarships for future teachers
- Incentive programs for high-need areas
- State-specific forgiveness programs
Check your state's education department for additional programs that may stack with federal benefits.
