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Nurse Corps Loan Repayment Program

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Pros And Cons Of The Program


One of the apparent benefits of the NURSE Corps Loan Repayment Program is that it reduces your outstanding debt, similar to other student loan aid plans. However, different from most others, this program brings substantial financial assistance in a short period of time. Borrowers can get a 60% reduction in the return of only two years of commitment. Plus, there is a possibility of extending the contract. Though there is no guarantee for an extension, you still have the chance to get an additional 25% cancellation for your remaining debt.

Another advantage of the program is that you will help people who are extremely in need of health care services. Participants of the NURSE Corps Loan Repayment Program serve in Critical Shortage Facilities. These facilities are located in socio-economically poor regions where the number of Nurses is low. Therefore, by agreeing to be a part of the program, you will serve for a more charitable purpose than just making money.

The program also involves some drawbacks. First, you cannot serve half-time. All eligible applicants need to work full-time for two years. Also, if you choose your service type, there is no chance to switch later. Lastly, during your commitment to CSF or HPSA, you can get a lower salary. The reason is that those facilities are usually located in socio-economically poor regions.

What Are The Contract Requirements For The Nurse Corps Loan Repayment Program

Its important to know ahead of time that youll sign a contract of service. Youll agree to work for at least two years full time to receive student loan forgiveness.

You can opt for two different contract options for service:

  • A contract for a Nurse Corps LRP participant serving as an RN or APRN at a CSF or
  • A contract for a Nurse Corps LRP participant serving as nurse faculty at an eligible school of nursing
  • You should be certain of your choice. Youre not allowed to switch to another service option during your contract. Some nurses may get an optional continuation contract for a third year of service. This would offer additional student loan repayment if agreed upon.

    What If You Consolidated Loans

    It is also possible that you had more than one student loan and decided to consolidate them. Consolidation is not a barrier to your application to the NURSE Corps Loan Repayment Plan. However, you should submit all the related documentation of consolidation or refinance during the online application. If these documents are missing, your request will not qualify. Also, consider that the original loan dates of all consolidated or refinanced loans should be during the time of your nursing education. Again, both federal and private loans that satisfy the conditions mentioned before will be eligible for repayment.

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    National Institute On Minority Health And Health Disparities

    The National Institute on Minority Health and Health Disparities has established the NIMHD Loan Repayment Program . The NIMHD LRP offers loan repayment awards of up to $35,000 per year to health professionals with doctorate degrees . Grantees must conduct health disparities or clinical research in non-federal research settings for at least two years. The program aims to increase the pool of highly qualified researchers who conduct health disparities research.

    Other Ways To Pay Off Nursing Student Loans

    NURSE Corps Loan Repayment Program

    If you decide that the student loan forgiveness program is not right for you, or if youd like to explore other options, some of the other ways to pay off nursing student loan debt include:

    • Income-driven repayment plans: These plans are most appropriate for nurses whose debt is higher in comparison to their income, because their loan payments will be lower and based on their income. Using this plan, if you make payments on your federal IDR loans for 20 to 25 years, your remaining debt can be forgiven.
    • Travel nursing: Travel nursing can also be an option to help you pay back your student loan debt faster. Although travel nursing agencies may not offer specific student loan forgiveness, many offer different types of bonuses, as well as stipends that can help boost your pay. You could even work part-time travel nursing jobs in your local area in addition to a regular RN job to get additional income, if needed.
    • Refinancing your student loans: In some situations, it may also make financial sense to refinance your student loans to consolidate or lock in a lower interest rate from a private lender. Keep in mind that if you choose to refinance any federal student loans, however, they will become private loans, so you wont be eligible for any federal loan forgiveness programs on the balance.

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    Pros And Cons Of Student Loan Forgiveness Programs

    While student loan forgiveness programs sound incredible at first glance–and for many individuals say they can be life-changing–they do warrant consideration over the pros and cons.

    Relying on a student loan forgiveness program for your nursing education may not always be the best route for you, depending on your individual situation.

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    Additional Loan Forgiveness Programs For Aprns

    Beyond the options we’ve listed here, there are loan forgiveness programs that are specific for advanced practice nurses only, including nurse practitioners, certified midwives, certified registered nurse anesthetists, and nurse educators.

    If you are interested in becoming an APRN, it is worthwhile to both check with your school as well as your current and prospective employers to see what kind of loan forgiveness may be available.

    And for nurses who don’t qualify for loan forgiveness, refinancing your student loans to a lower interest rate may be an option. The new loan replaces your old one, leaving you with a lower payment and/or a shorter payoff time frame. You can learn more about refinancing in our guide to refinancing nursing school student loan debt.

    Benefits Of The Nhsc Lrp

    • Service

      You have an opportunity to increase access to primary care services to communities in need.

    • Flexible Service Options

      You have a choice of service options:

    • Two year full-time clinical practice at an NHSC-approved site.
    • Two year half-time clinical practice at an NHSC-approved site.
  • Loan Repayment

    You will receive funds to repay your outstanding, qualifying, educational loans.

    NHSC loan repayment funds are exempt from federal income and employment taxes.

    Full-time service: Up to $50,000 for a two-year initial term

    Half-time service: Up to $25,000 for a two-year initial term

    Note: If you serve in a private practice, you aren’t eligible to practice half-time.

  • Complete Repayment of Qualifying Loans

    Once you complete the initial two-year service contract, you may be eligible to apply for additional loan repayment funds to pay any remaining educational loans through one-year continuation service contracts.

  • There is no guarantee that you will receive a continuation contract.
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    Details Of Mandatory Service

    You need to continue to work as a Registered Nurse or an Advanced Practice Nurse for two years. Your mandatory service starts when the contract is active. It is at the time of countersign by the Secretary of HHS. Till that date, you will not receive any credit for serving. Besides, awardees do not get any credit for working in training or postgraduate residency programs.

    Awardees also choose one of the two types of available services. They either work in a Critical Shortage Facility or as an educator in an eligible Nursing School. After they start their commitment, there is no chance to switch between these two options.

    During your two year commitment, you need to work full time. If you serve in a CSF, full time means 128 hours in a month and at least 45 weeks in a year. For Nursing educators, full-time work is defined by the employer. Usually, it is based on nine months of service. Also, consider that you cannot complete your mandatory service with half-time work.

    Healthcare Workforce Development Division Programs#

    • Allied Healthcare Loan Repayment Program
    • Bachelor of Science Nursing Loan Repayment Program
    • California State Loan Repayment Program
    • County Medical Services Program Loan Repayment Program
    • Licensed Mental Health Services Provider Education Program
    • Licensed Vocational Nurse Loan Repayment Program
    • Steven M. Thompson Physician Corps Loan Repayment Programs

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    Nurse Corps Student Loan Repayment Program

    Being a nurse is a demanding job. If youre an RN, certain positions may help you pay back your nursing loans.

    Am I eligible?

    If youre a registered nurse or an advanced-practice registered nurse, you may be eligible for this award. You must work in a critical shortage facility or an accredited school of nursing.

    How much is the award?

    If you meet the requirements, you can receive up to 60% of your loans paid for with a two-year service agreement. You can also apply for a third year for an additional 25% of the remaining balance.

    Which loans qualify?

    Perkins loans Private student loans

    Note: You must have obtained your loans to cover nursing educational expenses or living expenses while studying nursing. Non-nursing education expenses are ineligible.

    How do I apply?

    If you meet the above requirements, you can learn more and apply for the Nurse Corps Student Loan Repayment Program here.

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    Is This The Best Loan Repayment Option For Nurses

    Nurse Corps Loan Repayment Program #LPNSalary

    This is an exceptionally fast forgiveness program for nurses who agree to work in a CSF. Programs like Public Service Loan Forgiveness take 10 years before you can earn forgiveness, making the Nurse Corps Loan Repayment Program worth it based on time alone.

    Location is a huge factor to consider as well but the options for work locations may be more plentiful than you think. To find approved Nurse Corps LRP job sites and current job openings, use the Health Workforce Connector tool. You may find some not too far from home.

    There are, of course, many more loan repayment options for nurses. Youll want to look into all of them, including those that are state-specific, before making your decision. If you need help reviewing your options for paying back your student loan debt, schedule a consultation with one of the professionals here at Student Loan Planner®.

    1 Disclosures2 Disclosures3 Disclosures4 Disclosures5 Disclosures6 Disclosures7 Disclosures8 Disclosures

    Take our 11 question quiz to get a personalized recommendation of whether you should pursue PSLF, IDR forgiveness, or refinancing .

    Filed Under: Nurse / Nurse Practitioner

    About Bethany McCamish

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    How To Apply For Nclrp

    The application is lengthy and requires documentation from your employer as well as additional supporting information. Because it can be a bit complicated, its recommended that you first familiarize yourself with the Application and Program Guidance document before you begin your application.

    In general, you may be ready to apply for the forgiveness program if you meet the following criteria:

    • Youre an LPN, APRN, or nurse faculty member.
    • You earned your degree from an accredited nursing school in a U.S. state or territory.
    • You work full-time in a CSF in a high-need area or accredited nursing school.

    Its also worth noting that the forgiveness is given out depending on your financial need, so there may be applicants who receive higher amounts based on their needs.

    Whats A Qualifying Employer

    • A qualifying employer means that you work for:
    • A government organization at any level
    • A not-for-profit organization that is tax-exempt under Section 501 of the Internal Revenue Code
    • Other types of not-for-profit organizations that are not tax-exempt under Section 501 of the Internal Revenue Code
    • AmeriCorps or Peace Corps serving as a full-time volunteer

    It is very important to note for this type of loan forgiveness that the owner of the healthcare system must be a not-for-profit organization. At times, a hospital will be not-for-profit or serve an underprivileged population but will be owned by a larger for-profit corporation.

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    How Much Loan Forgiveness Can You Get

    This is the best part of the NURSE Corps program, because the percentage of loan forgiveness on offer is substantially higher than from any other Student Loan Debt Relief program that Ive ever run across, including:

    • 60% of your Qualifying Nursing Educational Loan Balance forgiven for completing an initial two-year service agreement
    • 25% of your Qualifying Nursing Educational Loan Balance forgiven for completing a third, optional, year of service

    That means you can get 85% of your nursing education loans paid off simply by serving in the field that you wanted to work in anyway for just three years!

    National Health Service Corp


    The National Health Service Corp provides an opportunity for primary care medical, dental and mental/behavioral health clinicians to receive up to $50,000 to repay their health profession student loans in exchange for a two-year commitment to work at an approved NHSC site in a high-need, underserved area. The payment is free from Federal income tax and is made at the beginning of service. Approved sites are located across the U.S., in both urban and rural areas.

    After completing your initial service commitment, you can apply to extend your service and receive additional loan repayment assistance.

    The amount you receive and length of your commitment depends on where you serve . It also depends on whether you select the full-time or half-time option.

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    What Is Disadvantageous Background

    There are two types of Disadvantaged Background: environmental and economical. Your workplace will be considered to serve environmentally DAB students if:

    • Students scored low on the SAT or ACT when they graduated from high school
    • The school is located in a district where less than half of the graduates of high school choose to go to college
    • Students with physical or mental impairment issues which lowers their educational abilities
    • The students national languages are different from English, and it limits their academic performance
    • The high school they studied serves people who receive free or price-reduced lunches, for up to 30% of students.
    • The students families get public assistance in the form of housing, food stamps, and more.

    Some conditions make the education facility eligible for DAB. For instance, if the students got a Pell grant, or their families generate income that is less than the low-income threshold. In case you teach in one the institutions that satisfy any of those conditions, you will have a higher probability of selection for the NURSE Corps Loan Repayment Program.

    Now Open 2021 Nurse Corps Loan Repayment Program Application Cycle

    The Health Resources and Services Administration has opened the 2021 Nurse Corps Loan Repayment Program application cycle.

    Nurse Corps LRP offers funding to registered nurses , advanced practice registered nurses , and nursing faculty for payment of their qualifying educational loans. In exchange, recipients honor a two-year service commitment at a health care facility with a critical shortage of nurses or an eligible school of nursing in the case of nurse faculty. Additional loan repayment is available for a third year of service.

    This year, Nurse Corps LRP has set aside special funding for nurses and nurse faculty who specialize in womens and behavioral health:

    • Up to $5 million has been allocated for applicants working as womens health nurse practitioners , certified nurse midwives, or certified RNs in obstetrics and gynecology.
    • Up to 50 percent of the remaining available funds has been allocated for NPs and up to 10 percent for nurse faculty. Of the 50 percent allocated for NPs, up to 20 percent is available for psychiatric NPs.

    Before applying, review the Application and Program Guidance for information on eligibility and requirements.

    The application cycle closes on February 25.

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    Which Service Options Are Available In The Nurse Corps Loan Repayment Program

    There are two types of service options eligible for the NURSE Corps Loan Repayment. The first one is the contract that you have made for serving as a registered or Advanced Practice Nurse . The second contract is for people who serve as nurse faculty at an eligible school. You should keep in mind that you can only choose one of them. Once you make your decision, there will not be any opportunity to switch the service option. When you receive the award, you need to deliver a service that fits your contract for at least two years. You can also have the optional continuation contract.

    Washington State Health Professional Loan Repayment

    NURSE Corps Loan Repayment Program

    The Washington State Health Professional Loan Repayment program was created to address the critical shortage of health care professionals statewide. The Loan Repayment program provides loan repayment assistance to licensed primary care health professionals. The Scholarship program provides scholarships to students training to become primary health care professionals. In return, participants in both programs agree to provide primary health care service in rural or underserved urban areas with designated shortages.

    The NHSC Loan Repayment Program is open to licensed primary care medical, dental, and mental and behavioral health providers who are employed or seeking employment at approved sites.

    Washington State Health Professional Loan Repayment and Scholarship Program

    Washington has a loan repayment and scholarship program administered by the Washington Student Achievement Council.

    • The State Loan Repayment Program is open to licensed physicians, nurse practitioners, physician assistants, nurse midwives, pharmacists, dentists, dental hygienists and registered nurses who are employed or seeking employment at approved sites.
    • The Health Professional Scholarship Program provides financial assistance to students training to become primary health care professionals. The programs funding has been suspended since the 2010 Legislative session.
    • For more information visit: webpage

    MSN Admissions Resources

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