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Department of Education Seeks Comment on Loan Forgiveness for Physicians

New proposed regulations from the Department of Education would expand the types of payments that qualify for the Public Service Loan Forgiveness (PSLF) program and increase the number of borrowers eligible for loan forgiveness.

The department seeks comment on loan eligibility policies for some employment types that currently do not qualify for PSLF. These include physicians providing services at a nonprofit hospital in states that prohibit their direct employment by that hospital, such as California and Texas, and physicians who work as contractors at nonprofit hospitals while other medical professionals work as full-time employees.

The proposed regulations also touch on borrower defense to repayment and arbitration, interest capitalization, total and permanent disability discharges, closed school discharges, and false certification. Comments are due Aug. 12.

Contact Senior Director of Policy Erin O’Malley at eomalley@essentialhospitals.org or 202.585.0127 with questions.

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About the Author

Julie Kozminski is a senior policy analyst at America's Essential Hospitals.

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