Child Care Provider

Loan Forgiveness for Child Care Providers

Under certain circumstances, a portion of your student loan debt may be forgiven. Federal law provides the loan forgiveness for child care providers.

Please contact your lender for applications and more information. Click here to see who your lender is.

Child Care Provider Loan Forgiveness

As of July 1, 2001 qualified child care providers may receive cancellation of up to 100 percent of their total eligible loans, provided on a progressive basis: 20 percent of the total amount of the loan, including interest, after two (2) years of service; 20 percent after three (3) years; and 30 percent after each of the fourth and fifth years of service. To be eligible, child care providers must have:

• Received a Stafford or Direct Loan after October 7, 1998 as a new borrower for the purpose of completing a degree in early childhood education or child care; Click here to check to see when your loan(s) was disbursed.

• Earned an associate or bachelor's degree in early childhood education; and

• Worked consecutive full time (30 hours a week, minimum) in an early child care facility for two (2) consecutive years, serving children from low-income families.

If you meet these requirements, you may be eligible for loan forgiveness. Please contact your lender for more information on child care provider loan forgiveness program. Click here for the application form and send completed forms to the lender.