Under certain conditions, you may have all or part of your Stafford and Perkins loans forgiven or cancelled. You do not have to repay the amounts that are forgiven. Loan forgiveness programs are available to certain attorneys, social workers, child care providers, nurses, and teachers.

The IRS considers debts that are forgiven as income. You may have to pay income taxes on the amounts, depending on your total income in the year the debts are forgiven. Loan amounts can be cancelled gradually, which minimizes the impact of taxes.

Learn more about loan forgiveness programs by visiting the Loan Forgiveness Programs Quick Reference.