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Question…

Asked by Anonymous

How do I find forgiveness for my student loan. I will never be able to pay it off. I am on disability now.

It’s possible to have your student loan debt discharged (canceled) or reduced, but only under certain specific circumstances:

  • You die or become totally and permanently disabled.
  • Your school closed before you could complete your program.
  • For FFELâ„  and Direct Stafford Loans only: Your school owes your lender a refund, forged your signature on a promissory note, or certified your loan even though you didn’t have the ability to benefit from the coursework.
  • You work in certain designated public school service professions (including teaching in a low-income school).
  • You file for bankruptcy. (This cancellation is rare and occurs only if a bankruptcy court rules that repayment would cause undue hardship.)

If you are unable to work and earn money because of an injury or illness that is expected to continue indefinitely or result in death, you may apply for a Total and Permanent Disability (TPD) discharge of your FFEL Loans, Federal Perkins Loans, Federal Direct Loans, or TEACH Grant service obligation. Disabilitydischarge.com has more information on qualifying and to apply for a TPD discharge.

Visit the Department of Education for more information on student loan cancellation.

If you are not sure what kind of loan you have, you can get information on your loan from the National Student Loan Data System.

If you would like to file a complaint about your student loans, you can do so through the Consumer Financial Protection Bureau.

This week is National Consumer Protection Week. Today we are answering your consumer questions. You can join us for a live social media chat at 2 p.m. EST. Learn more about the chat and how to submit your questions.