Published Jun 8, 2006
prenault
15 Posts
Hello,
Does anyone know anything about employers who offer to repay student loans in exchange for work commitment in an understaffed clinic? Is there a maximum amount they will agree to pay off?
Thanks!
Daytonite, BSN, RN
1 Article; 14,604 Posts
It is usually federal, state or county health programs that are the agencies that offer loan forgiveness programs. The most widely known is the Indian Health Service loan forgiveness program of the federal government. The way you find these these is to do a websearch for "nursing school loan forgiveness programs" or to check your state board of nursing. Sometimes the BON will post loan or scholarship information on their websites. Other times you have to call them. Other sources you might try would be your state nurses association or your state hospital association. Good luck with your search.
mtngrl, ASN, RN
312 Posts
I do not know that info but I would give it a lot of thought before comitting to any place. I did not pursue the sign-on bonus at a hospital and I am so glad because I stayed only a month. I don't think it's so good to get locked into something. And do you really want to work at such an "understaffed" place?? I'm just saying be wary when/if you ever sign any type of work comittment contract.
grinnurse, RN
767 Posts
Very well said. I know I just saw in our local newspaper that the State of Texas is offering loan repayment for nurses in some of the State Hospitals (psychiatric facilities). What it entails I do not know but will be checking it out to see if it is something that might be worth doing. Unlike mtngrl, I took part of the sign on bonus at a hospital that I had worked prior to graduation. It was a 5,000.00$ bonus that was spread out over a year. I took the first part and after working there for 4 mos I decided not to take the rest of it b/c I had begun looking for a different hospital.
jgreenlady
31 Posts
I haven't posted for a while, but had to give my comment on this. I was truly blessed in student loan repayment. I work in Memphis, TN, Methodist Hospital system, & been there 1 year now. They have a new grad benefit that will pay up to $250. a month for up to maximum of 8,000 in 3 years toward your student loan with NO commitment. Except that if you quit, then the payments stop. I went to a junior college, only borrowed $7500, so this will completely pay off my loan. I love it and don't feel trapped because I can move to another area of hospital and still keep the benefit. Or, if I just have to, I can leave with no obligation other than to pick up my own loan payments myself from that point.
mom2michael, MSN, RN, NP
1,168 Posts
My loan forgiveness program is through the State Health Inititive Loan program, the only requirement, I work in an area of need for 4 years and my entire $10,000 is gone after 4 years. Lucky for me, the entire state I reside in, with the exception of 2 counties up north, is considered an area of need. Check into your state health department for a program like that....
ak127
183 Posts
I've signed up for one of these programs that will actually pay $10,000 per year while I am in school, provide 6 hours/wk of paid job shadowing my Jr. year, a full time paid externship the summer between, and a paid 12 hr/wk externship during my Sr. year. My commitment is only 2 years after graduation. I'm really happy with my choice, my friends like working there and it has a great reputation. Worst case scenario, ALL of these kind of programs have an "out" clause that allows you to convert benefits paid into a student loan. What's more, the interest rates aren't that bad if you are forced to go that route.
Definitely read the fine print, but don't automatically pass on what I beleive to be one of the best benefits available to nurses!
RazorbackRN, BSN, RN
394 Posts
I work at Arkansas Children's Hospital. They have a loan repayment program with no committment required. They will pay back up to $20,000 in student loans over a period of 5 years ($4000/yr). It is disbursed over the year in your paycheck (pre-tax dollars). The only stipulation is that it must be your first RN position since graduation.
This is also offered in addition to tuition reimbursment so if you decide to further your education, you can and still receive your previous loan repayment.
dmg213
26 Posts
Definitely do your homework when it comes to hospitals that will pay back student loans. This one hospital will pay back a loan up to $4000 for a 2 year committment. if you decide to leave before the 2 years are up they stop paying for your loan.
Also, sign on bonuses are tricky too. Some contracts state that if you quit before the 2 year committment time (or however long it is) then you are responsible to pay back everything they gave you. In otherwords, if they give you half the sign on bonus in the first 6 months and you get the other half after 2 years, if you quit after only a year, you're required to pay back the amt they did give you. In my contract it states that the money is to be paid back within 6 days of leaving.
Look out for those hospitals that offer to pay big sign on bonuses. You have to wonder why they have to attract people with lots of money. Why is the facility so in need of people? Is the turnover rate high? If so is it because the facility is that bad?