Month: January 2016
Empowering Nurses to make quick career jumps with Forgiveness Schemes
Doctor, nurses and teachers form a very strong professional backing to any society. The country often misses out on the services of the professionals when students from poor background fail to capitalize on the educational infrastructure.
As education costs continue to rise, the federal loan schemes come across as a great support. For those who are not aware of how tough it could be for a student loan borrower to actually manage the interest payments, the Obama forgiveness program is an easy way out. In 10 years time, you could enjoy relief from the strenuous repayment of loan interest without any additional burden.
Nursing Education Loan repayment program is a part of the Obama forgiveness scheme where the offers are made to registered nurses and clinical assistants. The nurses can repay the educational loans linked to their professional commitments with the public and NGO-related services.
Here are some of the ways the Federal government makes nursing loan repayment scheme such a wonderful professional incentive across USA.
– Work for less than 40 hours per week
Nurses can have pretty treacherous working conditions. Just a decade ago, nurses worked for more than 50 hours per week with 6 days work shifts. Most of them had hard time managing their personal lives. Obama forgiveness scheme plotted a differential life standard benchmark for nurses who have taken Federal student loans. Now, nurses can work for less than 40 hours per week and still earn enough to repay the loan within forgiveness tenure.
The minimum number of hours a registered nurse has to week per week is 32 hours.
– Choose your own locations
Yes, nurses who have taken education loans can choose their own work locations and clinics. For initial number of years, depending on the loan sum and the forgiveness expected, a nurse in USA could be placed in areas where there is acute shortage of manpower. They could even be sent to rural and military bases. It not only pays well to serve in such locations but also adds experience into their kitty. After forgiveness is earned, the nurses can apply for further education loans to pursue higher studies. They can even switch to a private institution or an academic training school to serve as a nursing teacher.
– Earn 60 percent forgiveness in 2 years
Nursing education Loan repayment program is a part of Obama forgiveness scheme that will pay 60 percent of the borrower’s qualifying loan balance in two years of service. Additional forgiveness of 25 years is earned for the third year and henceforth.
– All registered nurses can apply for forgiveness
Registered nurses or RNs as they are referred to under the Obama Forgiveness schemes are eligible for forgiveness. The American Association of Colleges of Nursing (AACN) is the primary database for federal loan providers to fund students considering nursing as a graduate study before enrolling in the careers.
Nursing school’s financial aid department will guide you to other grant and loan programs like Perkins Loans, PLUS Loans and Stafford Loans.
A look at Nursing courses in USA covered under Forgiveness Schemes
Nurses had a hard time beating away the chaotic loan repayment schemes of the 80s and the 90s. Some of them continued to struggle under the burden off high interest rates, poor expense planning and minimal federal support in nursing profession. Obama Forgiveness scheme for nurses and teachers introduced recently has come as a potent saviour for federal education loan borrowers. It not only saves the nurses from high interest rates and prolonged loan clearance, USA is one of the few nations to offer forgiveness schemes.
Forgiveness program in USA on nursing career is available only for naturalised or permanent US residents. Government is trying to figure out if the same forgiveness benefits can be extended to international students who contribute to 27 percent of the total nursing force in USA.
Here are some programs in nursing that are currently covered by the Loan repayment schemes for nurses, both registered as well as licensed professionals.
– LPN LVN Programs
Nurses taking educational loans to complete LPN or LVN which stands for Licensed Practical Nurse or Licensed Vocational Nurse respectively can opt for federal loans. The duration is one year and is offered across many colleges in USA. Admission into these programs needs that student pass ACT, TOEFL or SAT.
A nurse passing with LPN LVN Program earns USD 40,000 as a vocational nurse. Further educational prospect includes an opportunity to apply for AAS which stands for Associates in Applied Science.
ADN Programs
ADN program is available under Loan repayment scheme as well. Nurses can earn Associate Degree in Nursing under the 15-24 month course. ADN nurses can treat, train and provide psychological care to patients. Nurses have to pass the National Council Licensure Exam to earn a license of nursing.
Average annual salary expectation of a nurse from ADN program is around USD 62,500.
– BSN Course
High-schools students can pursue their career in nursing by earning a degree in BSN which stands for Bachelor of Science in Nursing. It is a 4-year program and offered by specialized medical colleges & universities in the country.
Nurses from ADN and BSN courses have similar starting pay scale. The Obama Forgiveness schemes have most nurses from these programs.
Due to shortage of both time and money, students in USA prefer to go for a special BSN course. It is called Accelerated BSN Course which runs for less than two years. Usual tenure is 15-18 months. Only a handful of colleges offer the course with a regular BSN course.
MSN Programs
Advanced studies in nursing can be pursued from leading colleges in the country. The federal loan agencies offer forgiveness to the nursing professionals from following disciplines.
– Women’s Health Nurse Practitioner
– Paediatric Nurse Practitioner
– Family Nurse Practitioner
– Nurse Educator
– Neonatal Nurse Practitioner
– Adult Nurse Practitioner
It is the most competitive segment in nursing with forgiveness coming in less than 4 years. Average salary package for a nurse availing Student Loan Forgiveness for nurses is USD 81,000.
Other programs that are covered under forgiveness schemes are Certified Registered Nurse Anesthetist & Doctor of Nursing Practice programs.
Understanding Student loan forgiveness in Public Service: Mission 2020
Teacher student loan forgiveness scheme is an extension of the Public service loan forgiveness program designed and implemented by Obama government. It is one of the most common ways to support student loan borrowers who have tough time to manage their expenses. Student loan repayment schemes are stitched with the benefits of the loan forgiveness features that allow public service professionals to continue work in full-time public jobs. Considering the fact that public service jobs still pay less and have far lesser career opportunities, Obama Forgiveness scheme comes as a great way to boost education prospects in USA.
Am I eligible to qualify for Loan Forgiveness program?
The Student loan forgiveness program is designed to encourage youngsters growing in challenging communities and rural areas to enter a prolific academic course and earn well. A good education course is the gateway to a prosperous career that not just pays well, but also guarantees respect in the society.
If you are willing to invest a little time and add smartness to your career portfolio, here is a list of eligibility conditions that you must satisfy to earn entry into Student loan forgiveness programs.
o Make 120 monthly repayment of interest on time
o Payments after October 1, 2007 will be eligible under the forgiveness scheme
o You have to pick a repayment plan that allows you to qualify under a particular scheme like IBR or Direct loan repayment
o You must be a full-time worker in a registered public service organization
All student loan borrowers will be eligible for forgiveness in the federal loan scheme as per PSLF from October 2017, once it is ready for the first amendment.
For any student loan borrower to earn entry into forgiveness scheme, it is important to identify the best repayment model suitable for you. Best ones are the Income-based repayment plans and the Pay as You Earn plan, also called PAYE scheme. They are best linked to your monthly interest payment when it is less than 10 percent of your discretionary income. In some cases, it could be as low as USD 0.
Professions that you can pursue to win forgiveness
Public service jobs that will earn you absolution as per the Student loan forgiveness scheme are:
• Government Administration
• Emergency Management
• Military Service
• Public Safety and Law Enforcement (Police and Judiciary)
• Public Health Services
• Public Education
• Fire safety
• Library Services
• Public Interest Law Practice
• Early Childhood Education
• Services Assisting Those With Disabilities and The Elderly
If you remain on these Income Based plans, your loan forgiveness will be maximized under PSLF.
Almost every state in USA offers some or the other form of student loan forgiveness medium. There are currently over 100 different types of Student Loan forgiveness programs. It is applicable even to the students, teachers and nurses working in District of Colombia. By 2020, these programs would lead the list of the most aggressive debt mitigation solutions in western world.
Obama Student Loan Forgiveness 