Student Loan Forgiveness for Teachers
Every year the Texas Education Agency (TEA) submits a list of subject matter teacher shortage areas and a list of designated low-income schools to the U.S. Department of Education (USDE). Teachers with certain types of student loans may qualify for partial loan forgiveness, deferment or cancellation benefits.
Eligibility for these benefits depends on the type of loan the teacher has, the date of his/her first loan, and whether the teacher serves in a designated low-income school or subject matter teacher shortage area. Designated low-income schools are those with greater than 30% of enrolled students from low-income families in districts that are eligible for Title I funds. The economically disadvantaged status of a school does not ensure eligibility- please check to make sure your school is eligible: http://ritter.tea.state.tx.us/ed_init/PDF/SchoolSearch.pdf
Teacher Shortage Areas
2012-2013 School Year
||2011-2012 School Year
Bilingual Education /English as a Second Language
Spanish - as a foreign language
U.S. Department of Education - Teacher Shortage Areas Nationwide Listing 1990 thru 2012
Loan Forgiveness Options - Teachers may apply for all four programs if the balance of their unpaid federal student loans exceeds the forgiveness amount and if they meet the requirements. (Private loans are not eligible)
- Federal Teacher Loan Forgiveness - applications (external link) should be mailed to your lender
- TEACH for Texas Loan Repayment Assistance - Important Notice - Funding for 2011-2012 Service Period
The state budget shortfall presented extraordinary challenges for the 82nd Texas Legislature, resulting in the elimination of funding for many programs and significant cuts to others. The Teacher Education Loan Repayment Program, funded at approximately $11.5 million for the 2010-2011 biennium, was funded at $1 million for the 2012-2013 biennium, representing a 91% decrease in funding. Therefore, only renewal applications will be accepted for the next two years and there will not be sufficient funding to provide loan repayment assistance to all eligible teachers submitting renewal applications.
- Public Service Loan Forgiveness
- Federal Perkins Loan Teacher Cancellation - Must have a Federal Perkins loan; start the process in the first year of teaching contact the university that provided the loan.
- All School Staff (Public or Non Profit Private Schools)
- Public Service Loan Forgiveness
- Federal Perkins Loan Cancellation for Special Education - You must have an official at the public or other nonprofit elementary or secondary school certify that you are teaching handicapped or learning disabled students, either on the Federal Perkins Loan postponement/cancellation form or on an official letter from the school bearing the school's seal or letterhead. For Perkins Loans made on or after July 23, 1992, this cancellation includes special education teachers.
If you provide one of the following services, you qualify as a teacher only if 1) you are licensed, certified, or registered by the appropriate state education agency for that area in which you are providing related special educational services, and 2) the services you provide are part of the educational curriculum for handicapped children:
- speech and language pathology and audiology;
- physical therapy;
- occupational therapy;
- psychological and counseling services; or
- recreational therapy.
Page last modified on 2/6/2013.