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How can you have your consolidated student loan forgiven if you are a teacher in a low income area?
Wiki User
∙ 8y ago
If you were a full-time teacher for five consecutive academic years in a "low-income" school, you could qualify for a federal loan forgiveness program. The forgiveness amount is 5k-17.5k.
To qualify, you must:
- have taught full time for five consecutive complete academic years in an elementary or secondary school that was designated a "low-income" school by the U.S. Department of Education.
And ...
- At least one of the qualifying years of teaching was after the 1997-1998 academic year.
- Your loan was made before the end of the fifth year of qualifying teaching.
- The school must be public or private nonprofit.
- YOU MUST NOT HAVE HAD AN OUTSTANDING BALANCE ON A FEDERAL STUDENT LOAN BEFORE 10/1998.
You can apply to have your loans forgivenafter you have taught for five consecutive years.
Submit your completed application to the chief administrative officer at your school. He or she must certify that you have taught full time for five consecutive years at that school, and
- if you're teaching in an elementary school, that you have knowledge of or teaching skills in areas of the elementary curriculum;
- if you're teaching in a secondary school, that you are teaching in a subject area relevant to your academic major.
Applications and regulations are available from the Department of Education's Student Aid on the Web.
Wiki User
∙ 8y ago
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How long before outstanding student loans are forgiven?
It doesn't matter how long you had the loan, you have to pay it back unless you are disabled, a teacher in low-income schools, part of the peace corps, or the school forged your signature.If you have a federal direct student loan you can go on an income-contingent plan that will forgive loans after 25 years in repayment.25 years is the max---Never default on the loan.Many payment plans out there.Once you default you can never arrange and special payment plansThanks Casey Mahoney
On a repossion can the IRS collect for the bank?
No. But any debt that is forgiven is taxable as income.
Is a 1099 a considered debt forgiven?
If a debt is "forgiven," it is income to the debtor, and a 1099 is issued by the mortgagee or the creditor. You may not have to pay it, even if you don't file bankruptcy, if the debt was a mortgage on your residence.
What Are Your Options Regarding Student Loan Debt Forgiveness?
Millions of Americans are dealing with student loan debt. For most, that debt will linger with them for several years or decades. Although the average student loan debt is somewhere around $25,000, many students face debts of up to $100,000 or more. Is there any way to have your student loans forgiven?Don't Look To Bankruptcy CourtBankruptcy court is not going to be an option for you if you want to have your student loans forgiven or discharged. This is because recent changes to bankruptcy laws have made it almost impossible to get rid of student loan debt. Therefore, you need to talk to your lender about possible loan forgiveness.Will Lenders Forgive Your Loans?As a general rule, many private lenders will not discuss forgiving your student loan debt. However, they may be willing to create a custom payment plan that allows you to make payments each month without ruining your budget. The good news is that you may be able to have portions of your federal loans forgiven in some instances.How To Get Federal Loans ForgivenFederal student loans are often times forgiven for those in the education field as well as in the health care field. Military service may also result in having your student loan debt partially forgiven. Another way to get your student loans forgiven is to enroll in an income based repayment plan. If you make payments for 20 years, the remaining debt is forgiven. While you are repaying the loan, you are only asked to pay roughly 10 percent of your discretionary income.Student loan debt can be a crippling burden if you don't take steps to control your monthly payments. The best idea is to create a repayment plan before you accept your first loan. However, if your student loan debt gets away from you, there are options designed to help you deal with that debt.
Do federal student loans count as income for tax purposes?
No. Student loans are borrowed money, and is not considered "income;" therefore, you do not include them on your taxes.
Consolidated income statement?
Consolidated income statement is that statement in which expenses and incomes of subsidiary as well as parents companies shown as a joint in one single income statement.
What is a consolidated income statement?
Consolidated income statement shows the overall performance of one year by parent company as well as child company in group of companies accounting.
If a defaulted student loan is consolidated with repayment at 0 does this affect credit rating for non-payment?
No, if you receive an income sensitive repayment plan after consolidating and the payment is $0 because of your dependents and income, then it will not adversely affect your credit score.
How long before outstanding student loans are forgiven?
It doesn't matter how long you had the loan, you have to pay it back unless you are disabled, a teacher in low-income schools, part of the peace corps, or the school forged your signature.If you have a federal direct student loan you can go on an income-contingent plan that will forgive loans after 25 years in repayment.25 years is the max---Never default on the loan.Many payment plans out there.Once you default you can never arrange and special payment plansThanks Casey Mahoney
Benefits of the Student Loan Forgiveness Act?
If you accumulated student loan debt while you were in college, it is important to research the stipulations of the Student Loan Forgiveness Act. This piece of legislation was designed to reduce the load of debt repayment in some situations. The Student Loan Forgiveness Act provides for Income-Based Repayment. This benefit can help if you are a low-income household. The Act also provides for debt to be forgiven in some situations after a certain time period has passed.
What is a sentence for unearned?
where does that unearned income goes? This is one of many examples for sentence use.
On a repossion can the IRS collect for the bank?
No. But any debt that is forgiven is taxable as income.
Is student loan reportable as income?
No, a student loan is NOT reportable income. Besides, it wouldn't make sense that immediate debt be considered income.
Income of an elemetary ed teacher?
42,000 Starting teacher
Is a 1099 a considered debt forgiven?
If a debt is "forgiven," it is income to the debtor, and a 1099 is issued by the mortgagee or the creditor. You may not have to pay it, even if you don't file bankruptcy, if the debt was a mortgage on your residence.
My brother wants to borrow 150K from me. Is my brother or I obligated to pay taxes to Uncle Sam?
A loan is not a taxable transaction. If the loan is forgiven, the brother would have to pay income tax on the forgiven amount.
What Are Your Options Regarding Student Loan Debt Forgiveness?
Millions of Americans are dealing with student loan debt. For most, that debt will linger with them for several years or decades. Although the average student loan debt is somewhere around $25,000, many students face debts of up to $100,000 or more. Is there any way to have your student loans forgiven?Don't Look To Bankruptcy CourtBankruptcy court is not going to be an option for you if you want to have your student loans forgiven or discharged. This is because recent changes to bankruptcy laws have made it almost impossible to get rid of student loan debt. Therefore, you need to talk to your lender about possible loan forgiveness.Will Lenders Forgive Your Loans?As a general rule, many private lenders will not discuss forgiving your student loan debt. However, they may be willing to create a custom payment plan that allows you to make payments each month without ruining your budget. The good news is that you may be able to have portions of your federal loans forgiven in some instances.How To Get Federal Loans ForgivenFederal student loans are often times forgiven for those in the education field as well as in the health care field. Military service may also result in having your student loan debt partially forgiven. Another way to get your student loans forgiven is to enroll in an income based repayment plan. If you make payments for 20 years, the remaining debt is forgiven. While you are repaying the loan, you are only asked to pay roughly 10 percent of your discretionary income.Student loan debt can be a crippling burden if you don't take steps to control your monthly payments. The best idea is to create a repayment plan before you accept your first loan. However, if your student loan debt gets away from you, there are options designed to help you deal with that debt.
