Are you eligible for student loan forgiveness program?
Michigan Gov. Gretchen Whitmer’s office announced earlier this month that 154,000 Michiganders might qualify for a one-time federal loan forgiveness program.
As a U-M employee, you could be eligible for the Temporary Expanded Public Service Loan Forgiveness (TEPSLF) program if you have federal student loan debt. The program has been expanded through Oct. 31, 2022 to give borrowers credit for payments that previously didn’t qualify.
Although the program deadline is Oct. 31, your portion of the application process must be completed by Friday, Oct. 7, to ensure it can be processed by the Shared Services Contact Center (SSC) and sent to PSLF officials by Oct. 31.
The SSC does not determine eligibility for student loan forgiveness. Contact your loan servicer if you have questions.
What is PSLF?
Under the PSLF program, you may be eligible for federal loan forgiveness after you’ve made 120 qualifying payments while working full-time for a public service employer (10 years). You also must be making payments through 10-year standard repayment or one of the federal income-driven repayment plans. During the limited waiver, other payments may also qualify.
Only federal Direct Loans qualify for the program, although other federal student loan types may become eligible if you consolidate them into a Direct Consolidation Loan. Talk to your loan servicer about the implications if you’re considering this option.
Am I eligible?
According to the Office of Federal Student Aid, the eligibility requirements for loan forgiveness under the PSLF program are:
- You must not be in default on the loans for which you are requesting forgiveness.
- You must be employed full-time by a public service organization when making each of the required 120 qualifying loan payments (certain repayment conditions apply); at the time you apply for loan forgiveness; and at the time the remaining balance on your eligible loans is forgiven.
If you’re a parent who borrowed a Federal Direct PLUS Loan on behalf of your dependent undergraduate child, you may qualify if you’re working in a public service job and repaying through an eligible repayment plan.
Completing the employment certification form
As an eligible borrower, you must also periodically complete and submit the TEPSLF Employment Certification Form (ECF) to the U.S. Department of Education. The U-M Shared Services Center can complete the employer portion of the ECF. Once you have completed, signed and dated page 1 of the ECF, complete the eform on the SSC website:
Please note: In order for the SSC to have ample time to process your request, you must complete the process above by Friday, Oct. 7.