The Complete Guide To New Hampshire Student Loan Forgiveness

Paying back student loans is an expensive endeavor for anyone who has taken them out. New Hampshire borrowers know this all too well. The average student loan debt for New Hampshire graduates during the 2019-2020 academic year was $39,928, according to The Institute for College Access and Success (TICAS).

Luckily, New Hampshire student loan forgiveness programs can help borrowers pay off all or a portion of their loan debt balance. The Granite State offers two student loan forgiveness programs, but several federal programs are also great options for qualified borrowers.

New Hampshire student loan forgiveness programs

The state of New Hampshire currently offers two state-sponsored student loan forgiveness programs, both geared toward healthcare professionals within the state.

New Hampshire State Loan Repayment Program (SLRP)

The New Hampshire State Loan Repayment Program (SLRP) provides up to $75,000 in loan repayment funds to eligible healthcare professionals working in designated areas of the state deemed medically underserved.

To qualify for the program, you must be a US citizen be a licensed health care professional in New Hampshire. You cannot have any unserved obligations for service to another governmental or non-governmental agency.

You must also commit to a minimum service obligation of 36 months (full-time) or 24 months (part-time) at an eligible practice site. Your service commitment determines how much you can receive in loan forgiveness funds.

Visit the New Hampshire Department of Health and Human Services for more information on the SLRP program.

Private Practice Dentists State Loan Repayment Program (SLRP-PPD)

The Private Practice Dentists State Loan Repayment Program is a pilot program that falls under the umbrella of SLRP. The program provides $75,000 in loan forgiveness for qualified New Hampshire private practice dentists.

To qualify, you must own a private dental practice in a Medicaid-defined priority area, be enrolled as a New Hampshire Medicaid provider and provide dental services to a minimum of

15% Medicaid patients. SLRP-PPD requires a three-year service commitment.

Visit the New Hampshire Department of Health and Human Services for more information on the SLRP-PPD program.

If you qualify for this type of program, look into the New Hampshire doctor mortgage loan program.

Federal student loan forgiveness programs

While New Hampshire offers limited state-sponsored student loan forgiveness programs, you may still qualify for forgiveness through federal programs like Public Service Loan Forgiveness (PSLF), Teacher Loan Forgiveness and income-driven repayment (IDR) forgiveness.

The U.S. Department of Education distributes federal student loans to undergraduate and graduate students and parents. Receiving federal loans starts by filling out the Free Application for Federal Student Aid (FAFSA). Only federal student loans are eligible for federal loan forgiveness programs. Private student loans do not qualify for forgiveness through these programs.

Public Service Loan Forgiveness (PSLF)

Student loan borrowers who work in the public sector, like government organizations or nonprofits, may qualify for PSLF.

To be eligible, you must complete ten years of service while repaying student loans under an income-driven repayment plan. The government forgives any remaining loan balance upon completing your ten-year commitment.

Teacher loan forgiveness

The Teacher Loan Forgiveness Program (TLFP) provides up to $17,500 of loan forgiveness on eligible federal student loans. Borrowers receive the forgiveness after five consecutive academic years of service at a low-income school or educational service agency.

Unfortunately, only highly qualified math and science teachers at secondary schools or special education teachers qualify for the highest amounts of loan forgiveness. Other qualified teachers may only receive up to $5,000.

PSLF is likely the better option for teachers who qualify for both programs.

Related: Public Service Loan Forgiveness vs. Teacher Loan Forgiveness for Teachers

Income-driven repayment (IDR)

You don't have to work in the public sector to qualify for federal loan forgiveness. PSLF is off the table, but you may still be eligible for forgiveness through income-driven repayment (IDR).

There are currently four federal IDR repayment plans available:

• Saving on a Valuable Education (SAVE).
• Pay As You Earn (PAYE).
• Income-Based Repayment (IBR).
• Income-Contingent Repayment (ICR).

IDR plans allow borrowers to reduce their monthly student loan payments by limiting payments to 10% to 20% of their discretionary income over 20 to 25 years. Any remaining balance on your loans after the repayment period ends is forgiven.

Note that under the SAVE plan, undergraduate borrowers can access monthly payments as low as 5% of discretionary income beginning in July 2024. If you have a mixture of undergrad and graduate loans, your monthly payment will be a weighted average between 5% to 10% based on your original loan balance.

Pursuing student loan forgiveness in New Hampshire

Whether you live in New Hampshire or somewhere else, you may qualify for loan forgiveness plans that can help wipe out all or a portion of your loan debt. Most programs don't let you double dip, so weigh your options to determine the right repayment path.

Private student loans aren't eligible for most loan forgiveness plans. You can lower your total loan debt or monthly student loan payments by refinancing your private loans for a lower rate. Compare several private lenders to find the lowest interest rates.

We're here to help you choose the right loan forgiveness program if you're unsure which one is best for you. Regardless of your situation, we can help you find the most effective repayment strategy based on your needs. Schedule a consultation today.