Student Loan Forgiveness for Persons who Develop a Permanent Disability

If you have become disabled and have student loans that you borrowed with good faith intentions to pay back.  There may be help to ease your financial burden.  If you developed the disability after you completed your education and started repaying your loans that you may qualify to have your loans discharged under special government guidelines.  Unfortunately it is an up-hill process to get this discharge approved.  New legislation and court ordered changes have helped to improve this process.

The department has long maintained that its legal standard of forgiving loans — “total and permanent disability” — is fundamentally different from that of Social Security, which can always cut off benefits if a patient recovers. But in 2008, Congress passed a law easing the standard for discharge to full disability for at least five years, aligning it closely with a designation made by Social Security for disabilities that aren’t expected to improve. Both standards define disability as being unable to “engage in substantial gainful activity.” For more information click here.