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Student Loan Forgiveness for Connecticut Residents

Connecticut student loan borrowers are on the hook for an average student loan debt of $35,853, according to the Institute for College Access and Success. Although it's below the national average of $37,441, this debt load is still enough to affect life goals and financial plans.

One option to potentially reduce your loan debt is through student loan forgiveness. The federal government, via the U.S. Department of Education, offers several loan forgiveness programs that can drastically reduce your total debt bill. There are also state-sponsored student loan forgiveness programs available for Connecticut borrowers.

Connecticut student loan forgiveness programs

The state of Connecticut has several student loan forgiveness programs, which are mostly considered reimbursement incentive programs. Unfortunately, only one program, the Minority Teacher Incentive Program, currently receives funding.

Minority Teacher Incentive Program

The Minority Teacher Incentive Program provides grants for minority students enrolled in teacher education programs at eligible Connecticut universities and colleges. The program also provides loan reimbursement for minority teachers working at Connecticut public schools.

Eligible minority Connecticut college students can receive up to $5,000 in annual grants for two years. For minority teachers working in Connecticut public schools, the program provides loan reimbursement of up to $2,500 annually for up to four years of employment.

In total, eligible Connecticut minority teachers can receive up to $20,000 in financial aid through the state-sponsored program.

To receive more information on the program and requirements, contact your school's Dean of Education or The Connecticut Office of Higher Education at (860) 947-1855 or by email at mtip@ctohe.org.

Other state student loan forgiveness

Programs currently in Connecticut state statute but not receiving funding include:

  • Connecticut Green Technology, Life Science, and Health Information Technology Loan Reimbursement Program.
  • “Engineering Connecticut” Loan Reimbursement Grant Program.
  • English Language Learner Educator Incentive Program.
  • Information Technology Loan Reimbursement Pilot Program.
  • Primary Care Direct Services Program.
  • Nursing Education Loan Forgiveness Program.
  • “You Belong” Loan Reimbursement Grant Program.

Hopefully, these other programs will eventually receive funding and allow Connecticut borrowers to apply.

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Federal student loan forgiveness programs for Connecticut residents

For most Connecticut borrowers, you'll probably have more luck qualifying for federal loan forgiveness programs. The Department of Education offers four primary loan forgiveness programs currently:

  • Public Service Loan Forgiveness (PSLF).
  • Income-driven repayment (IDR) loan forgiveness.
  • Perkins Loan Cancellation.
  • Teacher Loan Forgiveness.

Each program comes with its own set of eligibility requirements. Most programs require you to make qualifying student loan payments for at least five to 25 years before being eligible for forgiveness. Participation takes many years, but depending on the program, you could wipe out most of your loan debt.

Teacher Loan Forgiveness

Teacher loan forgiveness is only available for eligible teachers working at qualifying schools. Depending on your situation, you could qualify for up to $17,500 in loan forgiveness on your subsidized and unsubsidized Direct Loans.

Public Service Loan Forgiveness

PSLF provides loan forgiveness for individuals working for eligible non-profit or government employers. One of the best perks of the public service loan forgiveness program is that it provides loan forgiveness tax-free. You must be on an eligible income-driven repayment (IDR) plan to be eligible for PSLF.

Income-driven repayment loan forgiveness

IDR loan forgiveness is open to borrowers with federal student loans participating in an IDR plan. Borrowers must complete qualifying monthly payments for 20 to 25 years.

Afterward, any remaining federal student loan debt is forgiven. Unlike PSLF, there’s a giant tax bomb on the balance that’s forgiven. Luckily, you have a couple of decades to prepare financially for it.

Other Connecticut student loan debt relief options

Connecticut borrowers facing hardship who don't qualify for state or federal loan forgiveness programs can explore loan deferment and forbearance.

Many students take out private student loans to cover college costs when federal student aid runs out. If you borrowed private student loans, they don't qualify for federal loan forgiveness programs.

Student loan refinancing is an alternative option that can be useful for private student loan borrowers. Depending on your credit score, credit history, and annual income, you might qualify for a lower interest rate than your current loans. Reducing your loan rates can potentially cut thousands of dollars in interest charges off your student loan debt.

Is Connecticut student loan forgiveness for you?

Although Connecticut doesn't offer many state-sponsored loan forgiveness programs yet, there's a chance you might qualify for a federal program. These programs take years and sometimes decades to complete.

Start looking into programs now if you're thinking about pursuing student loan forgiveness.

If you're unsure whether you qualify for loan forgiveness, consider booking a consult with one of our student loan experts. We've consulted on over $2.2 billion of student debt. We work with you to build a customized student loan repayment plan that allows you to pay off loans and pursue other life goals.

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