Student Loan Office
Request for Partial Cancellation
By performing certain services, which are explained briefly below, you may be eligible for a cancellation credit which will reduce both your loan balance as well as the accrued interest on your loan.
TEACHING: If you are a full-time teacher in an elementary or secondary school determined by the federal government to have a high concentration of students from low-income families, you may be eligible for a partial cancellation. The list of qualifying schools is published annually by the Department of Education. Contact the Student Loan Office for school eligibility.
To qualify for cancellation benefits in this category, you must be employed as a full-time teacher for a complete academic year or its equivalent. For the purposes of this category, a teacher is defined as being a person who is a professional employee of a school, or school system, who is devoted to providing classroom instruction or performing related duties in support of the education program.
(NOTE) A supervisor, administration, researcher, or curriculum specialist is not a teacher unless he or she primarily provides direct and personal educational services to students.
A full-time teacher of handicapped children in a secondary or elementary school may also be eligible. Handicapped children include those who are mentally retarded, hard of hearing, deaf, speech impaired, visually handicapped, seriously emotionally disturbed, orthopedically impaired, or the health-impaired children, who by reason thereof require special education and related services and children with specific learning disabilities.
A full-time special education teacher, including teacher of infants, and toddlers, children or youth with disabilities in a public or other non-profit elementary or secondary school system, or as a full-time qualified professional providing early intervention services in a public or other non-profit program.
A full-time teacher of mathematics, science, foreign languages, bilingual education or any other field of expertise that is determined by the State Education Agency to have a shortage of qualified teachers.
LAW ENFORCEMENT: If you become a Law Enforcement or Corrections Officer you may qualify for partial cancellation of your loan. You must be a sworn officer or person whose principal responsibilities are unique to the criminal justice system and are essential in the performance of the agency's primary mission.
NURSE: If you are a licensed practical nurse, a registered nurse, or other individual who is licensed by the appropriate state agency to provide health care services.
MEDICAL TECHNICIAN: An allied health professional (working in fields such as therapy, dental hygiene, medical technology, or nutrition) who is certified, registered, or licensed by the appropriate state agency in the state in which the borrower provides health care services; an allied health professional is someone who assists, facilitates, or complements the work of physicians and other specialists the health care systems.
If you are eligible for any of the above, 100 % of your loan will be canceled at these percentage rates: 15% each for the first and second year, 20% each for the third and fourth year and 30% for the fifth year.
PEACE CORPS, OR VISTA SERVICE: Upon receipt of the completed cancellation form along with documentation from the appropriate Peace Corps Office in Washington, D.C. borrowers are entitled to cancel up to 70% of their Perkins student loan. 15% for each first and second 12- month period of completed service and 20% for each third and fourth 12- month period of completed service.
MILITARY SERVICE: Upon making a properly documented written request, up to 50% of the principal amount borrowed will be cancelled for qualifying service performed as a member of the United States Armed Forces. Eligibility is limited to those who are serving in an area of hostilities and receiving special pay under section 310 of Title 37, United States Code. For each completed year service under the Military Cancellation provision, the loan will be canceled at the rate of 12 l/2% of the original principal loan amount.
In order to receive any of the above cancellation benefits, you must submit a properly completed "Request for Partial Cancellation" form when entering service, or upon receiving a bill (whichever comes first), and upon completion of each full year of service. After signing the form, have your school principal, district official or commanding officer certify the form as required in the appropriate section. Include a complete job description where appropriate.
If payment comes due before the completion of the year, you should apply for postponement of the payment. The postponement delays billing until the end of your service. Upon receipt of the bill, you should request a cancellation by completing the "Request for Partial Cancellation" of Loan" form as outlined above.
DEATH OR DISABILITY: In case of death, your loan will be canceled on the basis of a death certificate or other evidence that is conclusive under state law. If you come permanently and totally disable after receiving the loan, the loan will be canceled based on medical evidence.
