Military Student Loan Forgiveness Options for Active Duty and Veterans

• Military members qualify for Public Service Loan Forgiveness by working full-time for the military and making 120 qualifying payments under an IDR plan.

• If you have a total and permanent disability rated by the VA, your federal loans can be fully discharged.

• Branch-specific programs like the Army Student Loan Repayment Program pay up to $65,000 for qualifying soldiers.

If you’re in the military—whether you’re serving in the Army, Navy, Air Force, Coast Guard, or National Guard, or if you’re a veteran—you may be eligible for student loan forgiveness.

Here are your top options:

• Public Service Loan Forgiveness: Service members working full-time for the military or another qualifying employer can have their remaining federal loan balance forgiven after making 120 qualifying payments under an IDR plan.

• Total and Permanent Disability Discharge: If you have a service-connected disability rated at 100% or are deemed unemployable, your loans may be forgiven up to 100%.

• Income-Driven Repayment Plan Forgiveness: Active-duty service members and veterans can make reduced payments based on income. After 20–25 years of payments, any remaining loan balance is forgiven.

These are just a few student loan forgiveness programs for military members. Branch-specific repayment, refinancing, and debt settlement options are also available. Read on to find the best fit for your needs.

Related: Student Loan Forgiveness for Military Spouses

Public Service Loan Forgiveness

The Public Service Loan Forgiveness program forgives your remaining federal student loan balance after you make 120 qualifying monthly payments. This typically takes about 10 years of working for a qualifying employer (non-profit or government) and being enrolled in a qualifying repayment plan like an income-driven repayment plan.

Here’s how PSLF works for military members:

• Employer: Any branch of the U.S. military including the Army, Navy, Marine Corps, Air Force, and Coast Guard are eligible for PSLF, as they are under a federal government entity.

• Type of Loan: Only Federal Direct Loans are eligible for PSLF. If you have other types of federal loans, such as Stafford or Perkins Loans, you’ll need to consolidate them into a Direct Consolidation Loan to qualify.

• Qualifying Payment Plan: An IDR plan, like the SAVE Plan or PAYE, is generally the best option to minimize monthly payments and maximize PSLF benefits. Military members may qualify for $0 payments during active-duty service under an IDR plan, which still count toward the required 120 payments.

• Commitment: You must make 120 qualifying monthly payments during your military service. These payments typically span 10 years of full-time service, but breaks in service or deferment periods may extend the timeline.

Members of the Reserves do not automatically qualify for PSLF simply by being in a traditional part-time service role, as this does not meet the definition of full-time employment required for PSLF eligibility. To earn qualifying payments, you must typically be on active duty or mobilized.

If you are a discharged military personnel, you need to document your employment during your military service to gain credits. Use the PSLF Help Tool to certify your employment from Federal Student Aid.

If it’s too much to handle on your own, we can help you sort through the details and ensure you get this debt relief accurately and faster. Don’t hesitate to contact us right now.

Related: Student Loan Forgiveness for Veterans

Total and Permanent Disability Discharge

If you have a service-connected disability rated as 100% disabling or that you are deemed totally disabled based on an individual unemployability rating, you can discharge your student loans if you have the required documents and meet the eligibility criteria.

Here’s a breakdown how Service members can qualify:

• Eligibility: You may be eligible for a TPD discharge of your federal student loans, including Federal Family Education Loans (FFEL), Perkins Loans, Direct Loans, or Teacher Education Assistance for College and Higher Education (TEACH) Grant service obligation, if you’re unable to work due to a total and permanent disability.

• Documentation: You may acquire the documents proving you have a total and permanent disability through the U.S. Department of Veterans Affairs (VA), Social Security Disability Insurance (SSDI), or from a licensed medical professional.

• Application Process: You can apply for TPD discharge through the studentaid.gov website or directly by contacting your lender. If you believe you meet the eligibility requirements but have not been contacted by the VA or SSA, you can submit your application along with the necessary documentation.

The VA and SSA have systems in place to automatically identify eligible veterans and beneficiaries for TPD discharge. If you qualify, they may notify you about the automatic discharge of your loans without requiring a separate application.

Related: What Disabilities Qualify for Student Loan Forgiveness?

National Defense Student Loan Discharge

The National Defense Student Loan Discharge (NDSLD) program is designed to assist military personnel who have federal Perkins Loans or Federal Direct Student Loans.

Here’s how to qualify for a national defense student loan discharge:

• Eligibility: Available to servicemembers who have Perkins Loans or Federal Direct Student Loans and who served for at least one year in an area designated as having imminent danger pay areas or hostile fire.

• Loan Forgiveness: Those whose military service began on or after August 14, 2008, can have up to 100% of their loans forgiven. For those whose service ended before that date, up to 50% of the loan can be canceled.

• Application Process: To apply, servicemembers must complete a DD 214 discharge form and provide documentation of their service dates, which must be certified by a commanding officer. This form should be submitted to the loan servicer.

Note: The Perkins Loan program was officially discontinued in 2017, meaning that new Perkins Loans are no longer being issued. But, borrowers with existing Perkins Loans can still apply for discharge under the NDSLD program if they meet the eligibility criteria.

IDR Forgiveness

Income-driven repayment plans offer a flexible repayment option for military members who may not qualify for PSLF or who choose to pursue other forgiveness programs. These plans base monthly payments on income and family size, making them an accessible and affordable alternative for service members.

Here’s how IDR forgiveness can benefit military members:

• Eligibility for Military Members: IDR forgiveness is available to all federal loan borrowers, including active-duty service members, National Guard members, and veterans.

• Payment Cap: Monthly payments are calculated as a percentage of discretionary income, often leading to low or even $0 payments for service members.

• Extended Term: Repayment terms last 20 or 25 years, depending on the plan (such as SAVE plan, PAYE, IBR and ICR). After completing the term, any remaining balance is forgiven.

Confused about which program—PSLF, TPD Discharge, or IDR forgiveness—is right for you? We get it—forgiveness programs are tough. Let’s talk and find a solution together. Call us today.

Related: Income-Based Repayment Forgiveness

If the Department of Education’s forgiveness programs aren’t the right fit or you have your own reasons for not applying to them, don’t worry—there are other ways to manage your loan payments.

Here’s a quick look at each program:

• Servicemembers Civil Relief Act (SCRA): This program limits the interest rate on federal student loans obtained before entering active duty military service to a maximum of 6%. If you have federal student loans, this benefit is automatic. But for private student loans, a written request and a copy of the orders calling you to active duty may be necessary. You can submit this request any time during your active duty and up to 180 days after leaving service

• HEROES Act Waiver: With this, servicemembers can request an extension of reduced payments on their IDR plans. The waiver is available for those who are serving on active duty during a war, military operation, or national emergency. Active duty includes reserve members ordered to active duty and other armed forces members engaged in military actions.

• Montgomery G.I. Bill Active Duty (MGIB-AD): You must have served at least two years on active duty and received an honorable discharge. Additionally, you need to have a high school diploma, GED, or at least 12 hours of college credit, and have contributed $100 per month for the first 12 months of your active duty service.

Branch-Specific Loan Repayment Programs

You can also apply for repayment programs that fits your military branch. These programs has numerous education benefits and might be perfect for handling your student loan debt:

• Army: Offers up to $65,000 in loan repayment for soldiers who enlist for at least three years in certain Military Occupational Specialties (MOS). Payments are made annually at 33.33% of the remaining balance or $1,500, whichever is greater. You can also take the Army Reserve Student Loan Repayment Program that provides up to $20,000 for reservists serving a six-year term.

• Navy: You can apply for a Navy Student Loan Repayment Program which is similar to the Army’s program. It offers up to $65,000 in loan repayment assistance for sailors serving a minimum of three years.

• Air Force: Under their SLRP program, the Air Force offers up to $65,000 in student loan repayment for qualifying debt. JA-SLRP benefits are subject to funding and approval by The Judge Advocate General.

• Coast Guard: Offers up to $30,000 in loan repayment assistance over three years, with a maximum of $10,000 per year.

• National Guard: The National Guard’s program repays 15% of the outstanding principal balance or $1,500 per year, with a maximum benefit of $20,000, contingent upon a six-year enlistment

When it comes to private student loans, these programs can help ease your financial burden:

• Refinancing: Combine private student loans into one new loan with potentially lower interest rates or better repayment terms. This can reduce monthly payments or overall costs, making debt easier to handle. Learn more on How to Refinance Your Student Loans.

• Debt Settlement: Negotiate with lenders to settle for less than you owe, often after default. This can reduce your total debt but may harm your credit, so it’s best used as a last resort. Learn more about Private Student Loan Debt Settlement.

No matter the type of loan you have, whether it’s federal or private, our experienced student loan lawyers are ready to assist you in sorting your options and finding the best solution for your unique situation.

Military members have several options for student loan forgiveness and repayment, with Public Service Loan Forgiveness being the most popular. Other programs like TPD Discharge, National Defense Loan Discharge, and branch-specific repayment plans also provide valuable relief.

If you’re dealing with private loans, options like refinancing or debt settlement can help lighten the load. With so many choices available, it’s completely normal to feel a bit overwhelmed. We’ve worked with many military clients and guided them toward debt relief that works for them.

Book a consultation today and let us help you take control of your student loans.

Related reading:

• How to Find the Best Student Loan Lawyer Near You

• How to Apply For Student Loan Forgiveness

• Student Loan Forgiveness for Veterans

• Student Loan Forgiveness for Military Spouses

• Do Police Officers Qualify for Student Loan Forgiveness?