Perkins Loan Cancellation

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Specializes in NICU.

As some of you may know, Federal Perkins loans can be cancelled over a 5 year period if practicing as a full-time nurse.

Does anyone know what "full-time" is considered to be for this benefit? I have my cancellation forms, but everything just says "full-time."

I work 36hr weeks, considered to be full-time since we do 12hr shifts. Does this qualify? Does anyone have any experience with this?

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It can cancel?

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Specializes in Pedi.

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.

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Specializes in L&D.

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

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

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Specializes in Oncology; medical specialty website.

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

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Specializes in Complex pedi to LTC/SA & now a manager.

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.

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Specializes in Oncology; medical specialty website.
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.

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