Perkins Loan Cancellation

generalRN2008 · Jan 20, 2014

It can cancel?

KelRN215, BSN, RN · Jan 20, 2014

If your place of work considers it full-time, yes. You have to fill out a form every year to defer/cancel the loan. Your boss needs to sign saying that you are working as a full-time nurse which will cancel the previous year's payments (which were deferred). If you check that you intend to complete another year of full-time employment, the loan will defer for another year and then at the end of that year, you need to complete the same form affirming that you did work as a full-time nurse in that previous year. Each year that you work as a full-time nurse, 20% of the loan is canceled.

Katie71275 · Jan 20, 2014

Yes that would be considered full time. I am doing the same!

generalRN2008 · Jan 20, 2014

So it can cancel and you don't pay back that part?

OCNRN63, RN · Jan 20, 2014

Who's paying off the loan then? The taxpayers? Doesn't seem fair to me.

JustBeachyNurse, LPN · Jan 20, 2014

The loan is forgiven if the individual works in certain careers and under served populations. It's not unlike the HRSA scholarship/ loan forgiveness program for BSN or APN nurses who in exchange for a stipend and loan forgiveness work in federally qualified centers with under served populations. Sometimes Native American reservations, sometimes poor areas of rural America, border communities. (For HRSA relocation is not covered if the facility near you is either no longer eligible or not taking new applicants and if you don't accept a qualifying position in a specified period of time you must pay the funds back)

If I recall correctly the Perkins loans are not high amounts.

OCNRN63, RN · Jan 20, 2014

The loan is forgiven if the individual works in certain careers and under served populations. It's not unlike the HRSA scholarship/ loan forgiveness program for BSN or APN nurses who in exchange for a stipend and loan forgiveness work in federally qualified centers with under served populations. Sometimes Native American reservations, sometimes poor areas of rural America, border communities. (For HRSA relocation is not covered if the facility near you is either no longer eligible or not taking new applicants and if you don't accept a qualifying position in a specified period of time you must pay the funds back)
If I recall correctly the Perkins loans are not high amounts.

That money owed just doesn't magically go "poof!" Somewhere, someone has to foot the bill. Even if it's just a small amount, if you have several thousand people getting those loans, it adds up.