Peace Corps Student Loan Help Update!
Hey guys! This is just an update on my GoFundMe Project to pay off this student loan so I can actually leave in September for my Peace Corps training!
CNN Got Student Debt Give Yourself to AmeriCorps or the Peace Corps
CNN Got Student Debt Give Yourself to AmeriCorps or the Peace Corps.
Peace Corps Loans
Federal Loans. If you have federal student loans, such as Stafford, Perkins, direct, and consolidated loans, you may be eligible for deferment, partial cancellation, income-driven repayment, or eligibility for the Public Loan Service Forgiveness Program during Peace Corps service. Volunteers with Perkins loans may be eligible for a 15–70 percent...
As a Peace Corps Volunteer, some federal loans could be deferred. Federal Direct, Federal Consolidation and Stafford loans qualify for a deferment for up to three years during service. Federal Perkins loans qualify for deferment during service and for six months immediately after your service ends.
Peace Corps Loan Forgiveness Program. While there is no actual Peace Corps Loan Forgiveness program, there are other federal programs that are available to Peace Corps volunteers which include complete loan forgiveness as well as reduced monthly student loan payments.
Also, your service in the Peace Corps may count toward your eligibility for Public Service Loan Forgiveness (PSLF), but you must plan ahead. Only loans received under the William D. Ford Federal Direct Loan (Direct Loan) Program are eligible for PSLF.
Peace Corps Student Loan Forgiveness. The Peace Corps Loan Forgiveness Program is one of the most accessible student loan forgiveness programs available, because it’s open to anyone willing to become a Peace Corps volunteer. And in 2018, while many of the other Federal Student Loan Forgiveness Programs are being scaled back,...
The Peace Corps has a student loan forgiveness program that can cancel up to 70% of a particular type of student loan debt. 15% per year of this student loan debt is forgiven after you have completed two years of service with the Peace Corps, with an additional 20% cancelled after your third and fourth years.
As explained above, Peace Corps student loan forgiveness doesn’t exist on its own, but can be partially — or fully — accomplished through the strategic use of other programs. For two sample scenarios that compare the different repayment tracks, check out this helpful explainer from the office of Federal Student Aid.
Principal Deferment. The great news about the Peace Corps loan deferment program is that it applies to virtually every type of Federal student loan program available, including: National Direct Student Loans. Federal Direct Loans. Federal Consolidation Loans. Perkins Loans. Stafford Loans. Guaranteed Student Loans.
Peace Corps service counts toward the Public Service Loan Forgiveness program (more information below). Contact your lender as soon as you accept your Peace Corps invitation and start researching your options. It is recommended that you assign a power of attorney to manage your loans while you are abroad.
1. Peace Corps Student Loans Deferment. If you have federal student loans, you’re in luck. By serving in the Peace Corps, you may be eligible for a Peace Corps student loans deferment during your term of service. “My student loans were deferred during my Peace Corps term,” says Suzie Talbot.