Your student loan may be discharged (forgiven) if you become totally and permanently disabled
* Your student loan may be discharged (forgiven) if you become totally and permanently disabled. If a physician (doctor of medicine or osteopathy) certified that you are totally and permanently disabled and you meet other requirements during a 3 year conditional discharge period your loan(s) may be discharged. It is important to note that: You may receive Social Security, VA or other disability benefits and still not meet the definition of total and permanent disability that applies to student loan discharges.
* You do not qualify for discharge if the medical condition or impairment existed at the time you applied for the loan, unless after that time, the condition significantly deteriorated and then you became totally and permanently disabled. In other words, an individual who was already totally and permanently disabled when he or she applied for a loan cannot have that loan discharged for that condition.
Note that PLUS loans obtained by a parent on behalf of a student are not dischargeable on the basis of the student’s disability.
What to Do:
If you believe you qualify for a disability discharge, you and your doctor must complete, and sign, a discharge application form. You can request this form from the party that holds your loan, or you can download it now. Check a recent demand letter or bill for this loan; if the address to which you are requested to send payment is the National Payment Center in Greenville, TX, you should submit your completed form to:
U.S. Department of Education
P.O. Box 5609
Greenville, Texas 75403-5609
You may request a copy of the discharge application form by calling 1-800-621-3115. Note: in order to guard against fraud, the U.S. Department of Education (Department) will contact your doctor directly to confirm the nature and severity of your disability if you apply for a disability discharge.
Source: U.S. Department of Education
