NHSC loan repayment question....

[idgie]

Does the NHSC loan repayment program pay off both federal subsidized/unsubsidized as well as private loan monies or do they only repay the subsidized/unsubsidized federal student loans? Their website isn't specific about this information. I will be re-taking all my science pre-req's starting either this January or next Fall, but would like to get some info about loan repayment programs. I like the idea of working for the NHSC, as I would like to give something back to the community and at the same time pay back my student loans for PA school. This will be a second career for me and my student loan debt will be significant due to the need to pay for housing costs (student housing at college as well as covering mortgage payments/utilities/etc for my "real" home), as I can't predict whether I'll get into the only PA program that is close to my home. Any information would be appreciated.

 

Thanks!

[Gofastturnleft]

The NHSC has pretty stringent guidelines as to what qualifies. I'm considering applying for loan repayment for next year, and this is what I found on their website at National Health Service Corps :

 

1. What types of loans do Not Qualify for repayment?
   
   1. 
      
   2. Loans for which the associated documentation does not identify the loan as applicable to undergraduate or graduate education.
      
   3. Loans not obtained from a Government entity or commercial lending institution. Most loans made by private foundations to individuals are not eligible for repayment.
      
   4. Loans or a portion of a loan, obtained for educational or living expenses, which exceed the school's estimated standard student budget in the year the loan was made. If the applicant is able to substantiate that the excess educational and/or living expenses were reasonable, the NHSC LRP may reconsider.
      
   5. Loans that have been repaid in full.
      
   6. PLUS loans (made to parents).
      
   7. Personal lines of credit.
      
   8. Residency relocation loans.
      

 

What isn't clear is what is meant by "commercial lending institution", and how that might differ from a private foundation offering a loan through a commercial bank, for example. It would be well worth a phone call to clarify before accepting any loans, and especially before consolidating them! See next from the same web page...

Consolidated/Refinanced Loans

1. The consolidated/refinanced loan must be from a Government (Federal, State, or local) or commercial lender and must be for the applicant's qualifying educational loans only. If an eligible educational loan is consolidated/refinanced with any debt other than another eligible educational loan of the applicant, no portion of the consolidated/refinanced loan will be eligible for loan repayment.
   

Hope this is of some help...