Public-Service Loan Forgiveness at Risk?

Draft budget documents obtained this week by The Washington Post show deep cuts in education, including the elimination of the public-service loan forgiveness program, a program designed to benefit people who work in public-service jobs.

The Public Service Loan Forgiveness Program was approved in 2007 as a way to aid those who have public-service jobs with their student debt. Those who work in government organizations or tax-exempt nonprofit groups, must make 120 on-time monthly payments, while working for a qualified employer.

The First borrowers are scheduled to become eligible to receive forgiveness in October.

As we comb through the full budget proposal set to be released next week (scheduled for May 23rd), Minnesota Council of Nonprofits will report out on what is being proposed for this important program.