Seventy percent of college grads, including nurses, currently hold diplomas that came with student debt. You should feel more confident knowing that there are a number of loan repayment options, and reducing your debt is possible. Here are three things to know about paying back nursing school loans:
1) You could refinance your loans to a lower interest rate.
Through refinancing, a lender like CommonBond takes your costly student loans and replaces them with a smarter, single loan at a lower interest rate. Whether you have federal or private student loans, refinancing can help you save money each month or pay off student debt faster.
There are a number of benefits to refinancing your nursing loans:
· You could get a lower interest rate: One of the main reasons to refinance your loans is to reduce the interest you pay over time.
· You can consolidate monthly payments: If you have multiple student loans, you could combine them into one loan. You’d then have only one monthly payment to manage.
· You get protections: CommonBond offers up to 24 months of forbearance, just in case. Plus ,you never pay origination fees or get penalized for paying early.
Learn more and see what rates you qualify for here.
2) If you qualify for Public Service Loan Forgiveness (PSLF), you probably shouldn’t refinance.
If you are employed by a government or not-for-profit organization, you may be able to receive loan forgiveness under the Public Service Loan Forgiveness Program.
The PSLFProgram forgives the remaining balance on your Direct Loans after you have made120 qualifying monthly payments under a qualifying repayment plan while working full-time for a qualifying employer.
Because you have to make 120 qualifying monthly payments, it will be at least 10 years after you make your first qualifying payment before you can apply for PSLF.
See whether you might qualify at the Federal Student Aid PSLF page.
3) There are other programs that can help, too.
State-FundedNursing Loan Forgiveness Programs: It’s common for states to offer some kind of loan forgiveness for nurses, especially if you’re employed within a HealthProfessional Shortage Area (HPSA).
States will have their own rules and regulations for financial assistance, so it’s best to contact your state’s department of health to get the information you need to find out if you qualify.
NURSE CorpsLoan Repayment Program: The NURSE Corps Loan Repayment Program is geared toward nurses who workin underserved communities at Critical Shortage Facilities (CSFs).
Applications are only accepted once a year. Before applying, check out the program requirements and guidelines to see if it’s a good fit for you.
If you’re looking for more info on these programs, read the Student Loan Planner’s “Nurse’s Guide to Student Loan Forgiveness for 2019.”
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