How to Get Your Student Loans Forgiven If You Have a Disability

Living with a permanent disability is hard enough without the added burden of student loan debt. Fortunately, the federal government offers complete loan forgiveness for borrowers who can no longer work due to a severe, long-term disability.

The program is called Total and Permanent Disability (TPD) Discharge, and if you qualify, your federal loans could be entirely wiped out. 

Three Ways to Qualify for a TPD Discharge

 

1. Social Security Disability Benefits If you receive SSDI or SSI and your benefits are scheduled for review every 5 to 7 years, you're automatically considered eligible for discharge. 

2. VA Disability Rating Veterans who are 100% disabled due to service-related conditions or considered unemployable by the VA are also eligible. 

3. Physician Certification If your doctor certifies that your condition is total and permanent and expected to last at least five years (or result in death), you can qualify this way too. 

Which Loans Are Eligible? 

• Direct Loans (William D. Ford Program) 

• Federal Family Education Loans (FFEL) 

• Perkins Loans 

• TEACH Grant service obligations 

How to Apply 

If you're eligible through SSA or the VA, your discharge may happen automatically. If you're applying with physician certification, you must complete the application yourself. Here’s how: 

• Apply online: disabilitydischarge.com 

• Or submit a paper application via StudentAid.gov 

Be sure to include the required documentation: 

• SSA Notice of Award 

• VA rating letter 

• Physician certification (if applicable) 

Once approved, your student loan debt is gone. There’s no further payment required, and as of 2018, forgiven loans are no longer taxed as income. While the program used to require a 3-year income monitoring period, that requirement has been waived for most borrowers since 2021. 

If you're struggling with student debt while living with a disability, this program could bring real relief.