Public Service Loan Forgiveness Pslf Program Work College

The College Cost Reduction and Access Act of 2007 created the Public Service Loan Forgiveness (PSLF) program, which provides a way for people to have their student loans "forgiven" (canceled; discharged) if they work in a public service job in a "full-time" (usually 40 hours per week, but 30 hours per week for PSLF) job. PSLF participants must have made 120 payments (one per month for 10 years) on their loans while they were employed full-time, and then the rest of their loan is forgiven. However, the program is only for certain types of federal loans.

Getting a public service job may mean working for the government, but in some cases PSLF participants might work in a nonprofit organization or a private organization that provides public services, such as public safety, "early childhood education" (programs for 3- and 4-year-olds), and public libraries. Volunteering for "AmeriCorps" or the "Peace Corps" (federal programs that place volunteers in communities) can also "count as" (be considered to qualify for) full-time public service employment that provides "eligibility" (the condition of meeting all the qualifications for having or doing something) for participation in the PSLF program.

The "point" (purpose; intent) of the PSLF program is to "encourage" (make someone want to do something) college graduates to work in public service. Forgiveness of students loans is a powerful "incentive" (a benefit that makes one want to do something) for "recent graduates" (people who recently earned their degree) to choose a career in the public sector "over" (instead of) a more "lucrative" (profitable; earning more money) career.