Student loan forgiveness programs are used to attract former students to serve in certain jobs, or areas of the United States, that are experiencing a talent shortfall. A loan forgiveness program will repay all, or a percentage, of a student's educational debt.
Loan forgiveness occurs after the student has graduated from school and has started working. This is in contrast to service payback programs, which pay for a student's expenses while they are still attending school.
Former students can qualify for discharge of up to 100% of their Federal Perkins Loans, if they're working full time in a public or not-for-profit elementary or secondary school. Most loan forgiveness programs are aimed at encouraging teachers to work in low income areas or assist with the disabled.
Examples of these loan forgiveness programs include: