Armed Forces Loan Forgiveness Program Extended
Nearly $17.5 million forgiven for our servicemen and women
HARRISBURG, PA (June 14, 2007) - The PHEAA Board of Directors unanimously voted today to extend the Armed Forces Loan Forgiveness Program for the seventh time in four years.
The Armed Forces Loan Forgiveness Program was introduced in 2003 by the PHEAA Board of Directors, to recognize the bravery, dedication and loyalty of our servicemen and women who served in the aftermath of the September 11th attacks on our nation. Since its inception, nearly 7,500 student loans worth nearly $17.5 million have been forgiven.
The loan forgiveness program, supported through PHEAA’s business earnings provides up to $2,500 in a one-time loan forgiveness payment for student borrowers who served in the Armed Forces in an active duty status between September 11, 2001 and December 31, 2007, provided they have an eligible loan and meet eligibility requirements.
"We truly feel indebted to our young men and women who continue to give their extraordinary bravery every day since the 9/11 tragedy," said Chairman of the PHEAA Board, William J. Adolph, Jr. "By extending the program, we feel it is a small token of thanks to the thousands of servicemen and women and their families, while they serve our country."
Eligible loans include PHEAA-guaranteed, AES-owned and/or AES-serviced Stafford, Consolidation, PLUS, and SLS loans that were disbursed on or before December 31, 2007. The loan cannot be in default.
The borrower must hold one of four connections to Pennsylvania:
- currently a resident of Pennsylvania
- a nonresident who left a Pennsylvania school due to a call to active duty
- any Pennsylvania resident who was living in Pennsylvania at the time of enlistment and was in the military continuously through at least September 11, 2001, regardless of current place of residence
- any non-resident who attended a PA approved institution of postsecondary education, who went directly from this postsecondary enrollment into the Armed Forces of the United States, and was in the military continuously through at least September 11, 2001, regardless of current place of residence.
Applications for the Armed Forces Loan Forgiveness program can be downloaded directly from www.pheaa.org and www.aesSuccess.org or they may request an application by contacting PHEAA directly at 800.233.0557. If a borrower is overseas, an application signed by the Power of Attorney will be accepted if the supporting documentation is provided.
PHEAA powered by American Education Services
PHEAA is the nation’s leading nonprofit student aid organization. We devote our energy, resources and imagination to developing innovative ways to ease the financial burden of higher education for Pennsylvania’s students, families and taxpayers.
PHEAA’s public service mission is powered by American Education Services (AES), our commercial business enterprise. The earnings generated by AES through loan guaranty, servicing and student aid processing systems fund our $72.5 million supplement to the State Grant Program, millions of dollars in free scholarships and loan forgiveness, award-winning online planning tools and the nation’s lowest-cost student loans — all at no cost to taxpayers.
Our greatest gift isn’t just the $200 million we provide to Pennsylvania each year; our greatest gift is the future teachers, caregivers and entrepreneurs we help create.
For more information, please visit our Website at www.PHEAA.org.