After School and in Repayment

Now that you are in repayment, there are some important things to keep in mind while you are paying off your student loans. Below is some information about being in repayment.

Differences between Forgiveness, Cancellation, and Discharge

While the terms forgiveness, cancellation, and discharge all have similar meanings, there are some key differences to keep in mind as you explore what may be available to you. Please visit studentaid.gov for more information.

Public Service Loan Forgiveness (PSLF)

The PSLF program is intended to encourage individuals to enter and continue to work full-time in public service jobs. Under this program, you may qualify for forgiveness of the remaining balance due on your Federal Direct Loan Program loans after you have made 120 qualifying payments on those loans while employed full time by certain public service employers.

Eligibility Requirements for PSLF:

• Have eligible loan types
• Make 120 qualifying payments
• Make payments under an eligible repayment plan
• Maintain full-time employment status
• Work for a qualifying public service organization

To learn more and find out if you qualify, visit studentaid.gov

Teacher Loan Forgiveness

The Stafford Loan Forgiveness Program for Teachers is intended to encourage individuals to enter and remain in the teaching profession. Under this program, you may receive loan forgiveness of up to $17,500 if you teach for five consecutive academic years in schools or educational service agencies that serve low-income families, along with other requirements.

To learn more and find out if you qualify, visit Federal Student Aid.

Perkins Loan Cancellation and Discharge

The following Federal Perkins Loan Program cancellations apply to individuals who perform certain types of public service or are employed in certain occupations.

For each complete year of service, a percentage of the loan may be canceled. The total percentage of the loan that can be canceled depends on the type of service performed. Depending on the type of loan you have and when that loan was taken out, you may be eligible to cancel part of your entire loan if you have served as one of the following:

• Volunteer in the Peace Corps or ACTION program (including VISTA)
• Teacher
• Member of the U.S. armed forces (serving in area of hostilities)
• Nurse or medical technician
• Law enforcement or corrections officer
• Head Start worker
• Child or family services worker
• Professional provider of early intervention services

To learn more or find out if you qualify, contact the university’s Federal Perkins Loan specialist with any questions at 503-554-2239 or perkins@georgefox.edu.

Loan Default and Delinquency

Loan Delinquency

• If you do not make a payment by or on your due date for your loan, the first day after the due date, you will be considered delinquent on your loan.

What does this mean for you?

• Your loan will remain in this status until you make the payment, enter deferment or forbearance, or change repayment plans.
• If you are more than 90 days delinquent then your loan server will report the delinquency to the credit bureaus.

Loan Default

• This means that you continued in your delinquency, therefore your loan is now in default. This means that you did not make any scheduled payments on your loan for more than 270 days. Your loan will be reported as Defaulted if you continue to be delinquent in your payments and you do not make any scheduled payments on your loan for more than 270 days.

What does this mean for you? 

• Your entire loan balance is due immediately.
• You lose your eligibility for any Federal Student aid including grants and loans.
• You can not enter into forbearance or deferment.

To read more about what would happen if you default on a student loan please visit studentaid.gov. To see how to make sure that you avoid default, please visit studentaid.gov to see what steps to take to help you avoid defaulting on your student loans such as seeking forbearance