Standard Repayment Plan
Graduated Repayment Plan
Income-Driven Repayment Plans
Public Service Loan Forgiveness (PSLF)
Loan Repayment Assistance Programs (LRAPs)
What is the Graduated Repayment Plan?
The Graduated Repayment Plan starts with lower monthly payments that gradually increase every two years. This plan is ideal for recent graduates who expect their earnings to increase over time.
Income-Based Repayment (IBR)
Pay As You Earn (PAYE)
Revised Pay As You Earn (REPAYE)
Income-Contingent Repayment (ICR)
These plans can extend the repayment period and potentially result in loan forgiveness after 20-25 years of qualifying payments.
Can nurses qualify for Public Service Loan Forgiveness (PSLF)?
Yes, nurses who work full-time for a qualifying employer, such as a government or non-profit organization, may be eligible for PSLF. Under PSLF, the remaining loan balance is forgiven after making 120 qualifying monthly payments under a qualifying repayment plan.
What are Loan Repayment Assistance Programs (LRAPs)?
LRAPs are programs that offer loan repayment assistance to nurses in exchange for service commitments, usually in underserved or high-need areas. Examples include the National Health Service Corps (NHSC) Loan Repayment Program and state-specific programs.
Are there any other options for loan forgiveness?
Yes, some states and healthcare facilities offer their own loan forgiveness programs for nurses. Additionally, the Nurse Corps Loan Repayment Program (NCLRP) provides significant repayment assistance to registered nurses, advanced practice registered nurses, and nurse faculty in exchange for working in critical shortage areas.
What should nurses consider when choosing a repayment plan?
When choosing a repayment plan, nurses should consider their current and projected income, job stability, and long-term financial goals. It's essential to evaluate the total cost of the loan over time, including interest, and to explore options for refinancing or consolidating loans if it makes financial sense.
Where can nurses find more information about repayment options?
Nurses can find more information about repayment options through their loan servicer, the Federal Student Aid website, and professional nursing organizations. Financial advisors and career counselors can also provide personalized guidance based on individual circumstances.
