Loan Forgiveness

The U.S. Department of Education is implementing a new income-driven repayment plan, the SAVE plan, that calculates payments based on income and family size—not loan balance—and forgives remaining balances after a certain number of years. Unlike PSLF, you do not have to be in public service to qualify. This fact sheet, like any other student loan resource shared by NASP, is not financial advice, and you should consult with your student loan servicer before making any changes to your existing repayment plan.

One of NASP's ongoing priorities continues to be loan forgiveness for school psychologists. NASP prioritizes loan forgiveness in an attempt to reduce shortages of special education and related service personnel in schools. Some of the current and former federal loan forgiveness options that school psychologists could use if they meet various requirements include the following:

Public Service Loan Forgiveness Program (PSLF) 
The College Cost Reduction and Access Act of 2007, signed by George W. Bush, created the Public Service Loan Forgiveness Program, which offers loan forgiveness for eligible federal loans after 10 years worth of on-time payments are made while serving in certain public service jobs. The Department of Education's new PSLF regulations go into effect on July 1, 2023. Learn about how your application will be impacted and find answers to frequently asked questions on the PSLF Coalition website or at

Patient Protection and Affordable Care Act, Title V: Health Care Workforce
The Patient Protection and Affordable Care Act, Title V defines school psychologists under the category of "mental health professionals" who are eligible for loan forgiveness. This document includes the highlighted sections that reference school psychology.

Higher Education Opportunity Act of 2008
The Higher Education Opportunity Act of 2008 originally offered loan forgiveness to teachers and child care providers in low-income areas, a new version of the act has extended loan forgiveness to a variety of school personnel, including mental health professionals. This document highlights the definition of mental health professionals.


This CQ article, from October 2011, answers some FAQ's relating to loan forgiveness options for school psychologists.

Related Resources

Other Scholarship, Research Awards and Loan Forgiveness Information 
Learn more about the scholarships and research awards NASP offers.

Graduate Student Fact Sheet: Student Loans for New Students
Learn more about student loans that you can take out to cover the cost of attendance for your graduate program.

Graduate Student Fact Sheet: Considerations When Choosing a Graduate Program in School Psychology
Learn more about financial and other consideration when selecting a graduate program.