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Loans Qualifying for Repayment |
NIH Loan Repayment Programs will make payments on all qualified
student loans, together with interest and related expenses (such
as required insurance premiums). NIH cannot pay late fees, penalties,
or legal fees.
Your loans qualify if they are issued by any U.S. Government
(Federal, state or local), or accredited U.S. academic institutions,
and/or commercial lenders that are subject to examination and supervision in their
capacity as lending institutions by an agency of the United States or of the State in which the lender has its principal place of business
for school tuition or other reasonable
educational or living expenses (including room and board and
transportation) while attending undergraduate, graduate, medical,
dental, or veterinary schools.
NIH prioritizes which lenders are repaid first when participants
have outstanding loans from multiple sources. Regardless of the
balance or interest rate, NIH gives first priority to loans
guaranteed by the U.S. Department of Health and Human Services
(HEAL, Health Professions Student Loan, Loans for Disadvantaged
Students, and Nursing Student Loan Program). Next priority goes
to loans guaranteed by the Department of Education (Stafford,
Perkins, Consolidation, etc.). Other loans are prioritized in
this order: state, academic entities, and private lenders.
NIH issues payments directly to lenders on a quarterly basis.
Be alert on loan consolidation! It is acceptable to refinance your student
loans to streamline payments and secure lower interest rates. But, to
remain eligible for NIH loan repayment programs, it’s important
to keep your student loans segregated from all non-educational loans.
Also, don’t consolidate your loans with loans held by another person,
such as your spouse or a child. Finally, be sure to get a disclosure statement
on the consolidated loans from your lender. For
more detail on consolidation, click here.
PLUS Loans disbursed to graduate and professional students on or after July 1, 2006 qualify for LRP repayment. PLUS loans to parents, delinquent and/or past due loans, and penalties are not eligible for NIH repayment.
For more detail on qualifying student loans and their repayment, click here.
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