Student loan forgiveness may help some borrowers reduce or cancel their debt—but figuring out if you qualify isn’t always easy. Rules have changed, and some plans have been blocked or revised. That makes it harder to know what options are still available in 2025.
Forgiveness programs vary by job type, income, loan type, and how long you’ve been repaying. Some borrowers with private student loans may also have limited options for relief, depending on their lender and circumstances.
What Is Student Loan Forgiveness?
Student loan forgiveness means you may no longer have to repay some or all of your loan balance if you meet certain requirements. These programs are usually tied to federal loans and often require working in public service or making payments through an income-driven repayment plan over many years.
Forgiveness doesn’t happen automatically. You usually have to apply and meet eligibility rules based on your job, income, or how long you’ve been repaying. Not all loans qualify, and some programs can take years before any debt is canceled.
If you have private student loans, forgiveness is rare. Relief may only be possible in limited situations, like permanent disability, death, or successful negotiations with your lender.
Federal Student Loan Forgiveness Programs
If you have federal student loans, there are a few main ways you might qualify for forgiveness. These programs are designed to ease long-term debt burdens for people in specific types of jobs or with limited income.
Public Service Loan Forgiveness (PSLF)
PSLF is aimed at people working in public service jobs. That includes roles at:
- Government agencies (federal, state, local, or tribal)
- Nonprofit organizations that are tax-exempt under Section 501(c)(3)
- Certain other nonprofits that provide public services like education, health care, or law enforcement
To qualify for PSLF, you must:
- Work full-time for a qualifying employer
- Have Direct Loans (or consolidate other federal loans into a Direct Loan)
- Enroll in a qualifying repayment plan, usually an income-driven repayment (IDR) plan
- Make 120 qualifying monthly payments—these don’t have to be consecutive, but they must be made while working in eligible employment
To apply, you can:
- Use the PSLF Help Tool to confirm employer eligibility and generate the PSLF Form
- Submit the PSLF Form annually or whenever you change employers
- After 120 qualifying payments, submit the final PSLF application to request forgiveness
Processing can take time, so it’s helpful to keep your information up to date and track your progress along the way.
Income-Based Repayment (IBR) Forgiveness
IBR adjusts your monthly payment based on your income and family size, which can make your loan more manageable over time.
To qualify for IBR, you must have federal Direct Loans. Parent PLUS Loans are not eligible unless they’ve been consolidated into a Direct Consolidation Loan—and even then, they may not qualify for IBR.
Under IBR, your payment is set at:
- 10% of your discretionary income if you took out loans on or after July 1, 2014.
- 15% of your discretionary income if you borrowed before that date.
Your payment will never exceed what you would pay under a standard 10-year repayment plan.
Forgiveness may be granted after:
- 20 years of qualifying payments if you borrowed on or after July 1, 2014.
- 25 years of qualifying payments if you borrowed earlier.
Each year, you’ll need to recertify your income and family size to keep your payments accurate and remain eligible for forgiveness. If you miss a deadline, your monthly payment could go up and interest may capitalize, increasing your total loan cost.
To get started, visit StudentAid.gov and submit an IBR Plan Request through your loan servicer.
Teacher Loan Forgiveness
This program is available to teachers who:
- Work full-time for five consecutive years in a low-income elementary or secondary school, or in an educational service agency
- Are considered “highly qualified” in their subject area
You may qualify for:
- Up to $17,500 in forgiveness if you teach math, science, or special education.
- Up to $5,000 for other subjects.
After completing five full years of qualifying service, you can submit a Teacher Loan Forgiveness Application and have it certified by your school’s administration.
Note: Time spent earning Teacher Loan Forgiveness does not count toward PSLF, so choose carefully if you’re considering both options.
Total and Permanent Disability (TPD) Discharge
If you’re unable to work due to a disability, you may be eligible for a TPD discharge. You can qualify by providing one of the following:
- A doctor’s certification that you’re totally and permanently disabled
- Documentation from the Social Security Administration (SSA)
- A disability determination from the U.S. Department of Veterans Affairs (VA)
You’ll need to submit an application to the Department of Education, along with your proof of disability. Once approved, your federal student loans may be discharged in full. There is typically a three-year monitoring period to ensure you remain eligible.
Private Student Loan Forgiveness: What’s Possible?
Private student loans don’t come with the same forgiveness options as federal loans. These loans are issued by private lenders—like banks or credit unions—so they aren’t covered by federal repayment or cancellation programs. Still, there are a few situations where some form of relief might be possible.
Discharge Due to Death or Disability
Many private lenders will cancel the loan if the borrower dies. Some may also offer discharge in cases of total and permanent disability, but this is not guaranteed. If you’re facing one of these circumstances, contact your lender to ask what documentation they require.
Refinancing or Settlement
If you’re struggling to keep up with payments, you may be able to:
- Refinance to lower your interest rate or extend your repayment term
- Negotiate a settlement for less than the full balance, usually if the loan is in default
These options depend entirely on the lender’s policies and your financial situation. They usually don’t reduce the amount you owe unless you’re behind on payments or can show serious hardship.
Bankruptcy Discharge (Rare)
Private student loans are difficult to discharge in bankruptcy, but it is possible in limited cases. You would need to file a separate legal action known as an “adversary proceeding” and prove that repaying the loan would cause “undue hardship.” This is a high bar and often requires legal help.
Wrapping Up
Navigating student loan forgiveness can feel overwhelming, especially when programs change and not all loans are eligible. But depending on your job, income, or personal circumstances, you may have options for reducing or even canceling part of your debt.
Federal programs like Public Service Loan Forgiveness, Income-Based Repayment forgiveness, and Teacher Loan Forgiveness are still available in 2025, although some rules have shifted. For private loan borrowers, relief may be more limited, but there could be options depending on your lender and situation.
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