Connecticut Student Loan Forgiveness: State and Federal Programs

• Connecticut has two state programs: one for healthcare workers and another with broader eligibility for residents meeting specific criteria.

• You may qualify for federal programs like Public Service Loan Forgiveness or Teacher Loan Forgiveness to eliminate or reduce federal loans.

• Private loan forgiveness is rare, but Navient offers relief for borrowers affected by school misconduct.

Connecticut student loan forgiveness programs can help you get some much-needed relief from your student debt. With nearly 500,000 borrowers in the state owing a collective $17.5 billion, it’s no surprise that many are looking for a way to lighten the load—whether that’s through state programs, federal forgiveness options, or other relief opportunities.

The good news? Connecticut offers targeted programs for healthcare workers, educators, public servants, and more. Plus, if you have federal student loans, there are national forgiveness programs you may qualify for. Even if you have private loans, we’ll explore what options might still be available to you.

Whether your loans feel overwhelming or you’re just looking for ways to pay them off faster, we’ll guide you through the state-based programs first and show how they connect with broader opportunities. Let’s get started.

Connecticut offers two major programs to help residents reduce or eliminate their student loan debt. There’s also a third program that employers can use to reimburse employees for their student loan payments.

Connecticut Student Loan Repayment Program

The CT SLRP is specifically designed to support healthcare professionals while addressing critical workforce shortages. By focusing on underserved communities, this program helps ensure access to care across Connecticut while providing significant relief to participants.

• Who It’s For: Healthcare professionals working in areas with limited access to care.

• What You Get: Up to $50,000 in loan repayment for committing to two years of service.

• How It Works: Participants agree to work in eligible roles in underserved areas for two years in exchange for repayment funds.

• How to Apply: The 2024 application cycle has closed, but future opportunities may be announced. Stay updated by checking with the Connecticut Department of Public Health.

Related: Student Loan Forgiveness for Healthcare Workers

Connecticut Student Loan Reimbursement Program

This program is broader, offering relief to Connecticut residents who meet specific eligibility requirements, including income thresholds and volunteer service. It’s part of the state’s efforts to relieve financial strain and encourage community engagement.

• Who It’s For: Connecticut residents who graduated from in-state colleges, hold professional certificates, or meet other specific criteria.

• What You Get: Up to $5,000 per year for four years, with a maximum benefit of $20,000.

• How It Works: Residents must meet requirements related to income, residency, loan payments, and volunteer work to qualify.

• How to Apply: Applications open January 1, 2025, through the CT SCHOLARS portal, managed by the Office of Higher Education. Funding is first-come, first-served, so apply early and double-check all materials for accuracy.

Related: Does Volunteering Count for PSLF?

Connecticut residents can benefit from state-based programs to reduce their student loan debt. Employers also have an opportunity to support their workforce through the Student Loan Payment Tax Credit. This program helps businesses attract and retain talented employees while reducing student loan balances for workers.

Student Loan Payment Tax Credit

• Who It’s For: This program is designed for employers operating in Connecticut and paying taxes under Chapter 207 or Chapter 208. Employees must be full-time Connecticut residents who graduated within the last five years with qualifying CHESLA loans.

• What You Get: Employers can claim a tax credit equal to 50% of payments made directly to CHESLA loans, with a maximum benefit of $2,625 per employee per year.

• How It Works: Employers make payments toward eligible CHESLA loans on behalf of employees. Small businesses with gross receipts under $5 million may also request refunds for unused tax credits instead of carrying them forward.

• Eligible Loans: Only loans issued by the Connecticut Higher Education Supplemental Loan Authority (CHESLA) qualify. Federal and private loans from other lenders are not eligible.

• How to Apply: Employers need to complete Form CT-SLP (or Form CT-RSLP for refunds) and provide proof of payment along with documentation verifying employee eligibility.

Related: Will Student Loans Take My Taxes in 2025?

In addition to Connecticut’s state-based relief opportunities, you may also qualify for federal student loan forgiveness programs. These programs, offered by the Biden administration, have provided billions of dollars in relief to borrowers since 2021.

Here’s an overview of key federal programs:

• Public Service Loan Forgiveness (PSLF): If you work for a government or nonprofit organization, you could qualify for full loan forgiveness after 10 years of qualifying payments. Recent reforms to the PSLF Program and one-time adjustments have made it easier for borrowers to benefit.

• Total and Permanent Disability (TPD) Discharge: Borrowers with total and permanent disabilities may have their federal loans completely forgiven.

• Borrower Defense to Repayment: If your school misled you or engaged in misconduct, you may qualify for loan forgiveness. Recent discharges have benefited students from several closed or fraudulent institutions.

• Teacher Loan Forgiveness: Eligible teachers in low-income schools may qualify for up to $17,500 in forgiveness on their federal loans.

Each program has specific eligibility criteria and application processes, so it’s important to explore your options to determine what fits your situation.

Related: How to Apply for Student Loan Forgiveness

Private student loan forgiveness is rare, but there are some exceptions. Forgiveness typically depends on the lender and is often limited to situations like death or total and permanent disability. But Navient has taken a step further by offering forgiveness opportunities for borrowers whose schools engaged in misconduct.

Navient’s School Misconduct Discharge program applies to private student loans used to attend certain schools that misled students or failed to meet their obligations. If you believe your school’s misconduct impacted your education or finances, you may qualify for a loan discharge through this program.

Contact Navient directly to learn more about eligibility and application requirements.

Connecticut offers several opportunities to ease the burden of student debt through its student loan forgiveness programs. Whether it’s the Connecticut Student Loan Reimbursement Program, the Connecticut Student Loan Repayment Program, or federal programs like Public Service Loan Forgiveness, there are options to help you save thousands—or even eliminate your debt entirely.

But many opportunities, like the reimbursement program, operate on a first-come, first-served basis, so acting quickly is key.

Not sure which Connecticut student loan forgiveness program fits your needs?

Book a call with one of our student loan experts today.

We’ll help you sort through your options, maximize your savings, and take the next step toward financial relief. Your journey to a debt-free future starts here.

Related Readings:

• State Programs for Student Loan Forgiveness

• Who Can I Talk to About Student Loan Forgiveness?

• How to Apply for Student Loan Forgiveness