When it comes to loan forgiveness, people tend to focus on programs like President Biden's proposed (and failed) one-time debt relief initiative or Public Service Loan Forgiveness (PSLF). But other programs, such as the often-overlooked Teacher Loan Forgiveness program, can provide much-needed relief.

According to the Federal Student Aid Data Center, 23,000 people received Teacher Loan Forgiveness in 2022, eliminating $223 million in outstanding Direct and Federal Family Education Loans.

If you are a teacher, you could take advantage of this program and eliminate a significant portion of your debt.

What is Teacher Loan Forgiveness?

The government launched the Teacher Loan Forgiveness program as part of the Higher Education Amendments of 1998. Signed into law by then-President Clinton, the program was designed as a recruitment and retention tool to encourage teachers to work in high-need schools.

Teacher Loan Forgiveness is a loan cancellation program for federal student loan borrowers. Through the program, teachers can get up to $17,500 of their qualifying loans forgiven after completing five years of teaching at an eligible school.

Teacher Loan Forgiveness is for teachers that provide instruction in classrooms or non-classroom settings. Other school employees, such as librarians, guidance counselors, or administrative staff are not eligible.

Teacher Loan Forgiveness eligibility

To qualify for Teacher Loan Forgiveness, you must meet the following requirements:

• Meet the criteria for a "highly qualified teacher": The government considers a highly qualified teacher to be an educator that has earned a bachelor's degree and received full state certification.

• Teach at an eligible school or institution: You must teach at a low-income elementary school, secondary school, or education service agency.

• Teacher for at least five years: To qualify for forgiveness, you must teach full-time for at least five full and consecutive academic years.

• Have eligible loans: Only federal Direct Subsidized, Direct Unsubsidized, Unsubsidized Federal Stafford, and Subsidized federal Stafford Loans are eligible for Teacher Loan Forgiveness. Loans must have been made before the end of your five qualifying years of teaching service.

Not everyone will qualify for the full $17,500 of loan forgiveness; that maximum amount of forgiveness is only for full-time mathematics or science teachers at the secondary level and highly-qualified special education teachers. The maximum for all other teachers is $5,000.

Apply for Teacher Loan forgiveness in 5 steps

The application process is simple:

1. Check your school's eligibility

Make sure that your school is a qualifying employer. You can check your school's eligibility by searching for it on the Teacher Cancellation Low Income Directory.

If your school is not listed in the directory but you think it's been wrongfully omitted, you must contact your state education agency.

2. Complete your service obligation

You must teach full-time for five full and consecutive academic years. If you were unable to complete a full academic year of teaching, your time teaching may still count if you completed at least half of the academic year, your employer states that you completed your contract requirements and you were unable to complete the academic year for a qualifying reason:

• You returned to postsecondary education as a half-time or full-time student to earn a degree in a related field.

• You had a condition covered under the Family and Medical Leave Act of 1993.

• You were called or ordered to active duty as a member of the U.S. Armed Forces.

3. Fill out the Teacher Loan Forgiveness application

Once you have completed the five-year service obligation, fill out the Teacher Loan Forgiveness application. If you have multiple federal loans that may be eligible for loan forgiveness, you must fill out a separate application for each one. And if you taught at more than one school, list all of them on a separate piece of paper.

4. Ask your employer to certify your employment

Next, ask your school's chief administrative officer to complete the application's certification section. After your employer completes that section, you can submit the form to your loan servicer.

5. Wait for a decision

When you submit the loan application, the loan servicer will pause your payments. Your loan principal and interest will be in forbearance until your application is approved. Once the application is processed, the loans servicer will notify you and update your loan balance.

Teacher Loan Forgiveness FAQs

Can I qualify for both Teacher Loan Forgiveness and Public Service Loan Forgiveness (PSLF)?

Teachers may qualify for both Teacher Loan Forgiveness and PSLF. However, you cannot get credit for both programs for the same years of service. For example, if you complete five years of teaching and qualify for Teacher Loan Forgiveness, any payments you made during that time would not count toward PSLF, so you would have to start from scratch to make the 120 required monthly payments.

What student loans are not eligible for Teacher Loan Forgiveness?

Only Direct and Federal Stafford loans for undergraduate students are eligible for Teacher Loan Forgiveness. Other student loans, including PLUS Loans, federal Consolidation Loans used for PLUS Loans and Parent loans, are not eligible. Teacher Loan Forgiveness is a federal program, so private loans are not qualifying loans.

I work for a college; can I qualify for Teacher Loan Forgiveness?

Teacher Loan Forgiveness is only for teachers in elementary or secondary schools. Other teachers, including college professors, are not eligible.