Librarian Student Loan Forgiveness: PSLF and More

• Librarians can apply for programs designed to help reduce or even erase student loan debt. From PSLF to Perkins Loan Cancellation and more, you have options to ease your financial burden.

• PSLF is ideal for librarians working in public or nonprofit libraries. It offers tax-free forgiveness after 10 years of qualifying payments.

• If you have private loans, they usually don’t offer forgiveness programs. Instead, you might consider negotiating a settlement or filing for bankruptcy to discharge your student loans.

If you’re a librarian managing student loans, Public Service Loan Forgiveness is often the go-to option for federal loan forgiveness. Whether working in a public library, a school library, or other educational services, PSLF can help erase your remaining balance after 10 years of qualifying payments.

But if PSLF isn’t the right fit, don’t worry—there are other paths to debt relief.

• Public Service Loan Forgiveness: This program is usually the best option if you have a lot of student debt. It’s meant to erase your remaining balance tax-free, no matter how much you owe, as long as you qualify.

• Other Forgiveness Options: Librarians with old Perkins Loans could explore loan cancellation, those with permanent disabilities may be eligible for a Total and Permanent Disability Discharge, and state-based programs may offer additional support.

• Refinancing: If you have private student loans or aren’t pursuing forgiveness programs, refinancing can lower your interest rate or adjust your repayment terms, making your loans more manageable.

This guide walks you through the options available to help ease the stress of student debt. With the right program, you can take control of your loans and focus on what matters most—your career and your community.

Public Service Loan Forgiveness offers student debt relief for librarians who work for qualifying employers (public or nonprofit libraries).

Under this program, remaining student loan balances are forgiven after 10 years of qualifying payments (payments made under an IDR Plan).

Here is a breakdown of the program:

• Employer: Your employer must be a government agency or nonprofit institution. This includes public libraries, state libraries, federal libraries, and academic libraries at public universities. You can use the PSLF Help Tool at the Federal Student Aid to see if your employer qualifies.

• Loan Type: Only Federal Direct Loans are eligible for PSLF. If you have other types of federal student loans, like FFEL or Perkins Loans, they won’t qualify unless you consolidate them into a Federal Direct Consolidation Loan. Learn more in our Student Loan Consolidation Guide.

• Payment Plan: An Income-Drive Repayment plan, including Income-Based Repayment (IBR), the SAVE Plan (formerly REPAYE), Pay As You Earn (PAYE), and Income-Contingent Repayment (ICR).

• Commitment: You’ll need to make 120 qualifying monthly payments, typically over 10 years of full-time service.

How to Apply PSLF For Librarians

1. Check Eligibility: Ensure you have a Direct Loan, work full-time for a qualifying employer, and are on a qualifying repayment plan.

2. Submit PSLF Forms: Complete and submit the Employment Certification Form annually or when changing jobs to track your qualifying payments and employment. You may download the necessary form from our Forms and Application Guide.

3. Send the Form: Mail or fax it to MOHELA (address: 633 Spirit Drive, Chesterfield, MO 63005-1243; fax: 866-222-7060) or upload it to their website if they’re already your servicer.

4. Monitor Progress: MOHELA will notify you of your qualifying payment count.

5. Apply for Forgiveness: Once you reach 120 qualifying payments, submit the form again to claim forgiveness.

For a more comprehensive guide on applying for federal student loan forgiveness, check out this guide on How to Apply For Student Loan Forgiveness. You can also consult a student loan lawyer to help you figure out the steps to apply so you don’t get confused or make any mistakes.

Related: MOHELA Student Loans – Forgiveness & Repayment Options

If you took out a Federal Perkins Loan before September 30, 2017, you may still be eligible to have up to 100% of your debt canceled. This program is designed for eligible full-time librarians and other public service professionals under the Higher Education Opportunity Act.

To qualify, you must meet the eligibility criteria, including working full-time as a librarian with a master’s degree in one of the following settings:

• Elementary or secondary schools that qualify for Title I assistance under the Elementary and Secondary Education Act.

• Public libraries serve areas that include Title I-eligible schools.

Here’s how the gradual payout would work:

1. 15%, plus interest

2. 15%, plus interest

3. 20%, plus interest

4. 20%, plus interest

5. 30%, plus interest

This schedule offers flexibility, especially for librarian borrowers working to eliminate smaller loan balances. Contact your Perkins Loan holder (check with your loan servicer if unsure) to begin the application.

The PSLF program is the top forgiveness option for librarians, especially those working in public or nonprofit libraries, but it’s not the only path to relief. If you don’t qualify for PSLF or Perkins Loan cancellation, there are other programs worth exploring.

Here is the overview of the alternative programs:

• Total and Permanent Disability Discharge: If you become permanently disabled, you can have your federal loans discharged. You’ll need documentation from a physician, the VA, or Social Security Administration. Learn more in our TPD Discharge Guide to see if this option applies to your situation.

• State-Based Forgiveness Programs: Some states offer forgiveness programs for librarians. For example, the Educators for Maine Program provides loan forgiveness for librarian-media specialists working in Maine, offering one year of forgiveness for every year of service. Check your state’s programs to see what’s available for public service librarians.

• Refinancing: If you qualify based on credit score and income, refinancing can lower your interest rate or extend your repayment term. Be cautious, though, as refinancing federal loans with a private lender removes federal protections. Refinancing may reduce monthly payments but can increase total interest over time. Learn How to Refinance Your Student Loans.

If you have private student loans, they don’t usually come with forgiveness programs, which can definitely feel frustrating. But don’t worry—there are still some alternative options you can look into.

• Settlement Options: If your loan payments are unmanageable, negotiating a settlement with your lender could reduce your debt. This typically requires defaulting to open negotiations, which may negatively affect your credit score, so it’s often a last resort.

• Bankruptcy for Private Loans: Although it’s challenging, filing for bankruptcy may discharge private student loans if you can prove undue hardship. This option is for extreme cases and requires demonstrating significant financial difficulties beyond normal repayment struggles.

If you’re struggling with your private student loan debt, consider contacting your loan servicer or consult a financial counselor for guidance on refinancing, settlement, or other resources.

Librarians struggling with student loans—rest assured, debt relief is possible. Public Service Loan Forgiveness is the best option for those working full-time in public libraries, academic libraries, or other qualifying nonprofit institutions. It offers tax-free forgiveness after 10 years of payments.

If PSLF isn’t a fit, other paths like state-based forgiveness programs or refinancing can provide much-needed relief. If you’re unsure which program is right for you, our student loan lawyers are here to help. They can guide you through the process and ensure you’re on the best path.

Schedule a consultation today to take the first step toward a clearer, more manageable financial future.

Related reading:

• PSLF Qualifying Employers — Here’s What You Need to Know

• How to Apply For Student Loan Forgiveness

• School Counselor Student Loan Forgiveness

• Student Loan Forgiveness Programs For Teachers

• Nonprofit Employee Student Loan Forgiveness