Seven Ways to Reduce Student Loan Debt

Most of my life has been defined by the rhythms of schools: summer vacation, winter holiday, spring break, fall beginning, and end of semester finals. Though I'm never done with learning, I think that I'm finally done with school. So now it's time to pay back my student loans. Two thirds of undergraduates take out student loans to pay for their education. In 2004, the average undergraduate finished college with $19,202 of student loan debt. And many of folks will incur more with graduate or technical training.

If all of this sounds familiar, you may want to consider a loan repayment program. In exchange for service to the community, many federal agencies will repay portions of your student loans. Your community gets a well-educated and dedicated servant, and you get your loans repayed. It's win-win! Ready to learn more? Here are several programs you may want to consider:

* The National Institutes of Health has a intramural and extramural loan repayment programs for people with doctoral level degrees in health and biomedical sciences. Eligibility depends, in part, on the type of research you do. I hope to qualify for this at some point.

* The AmeriCorps Education Award can be used "to pay educational expenses at qualified institutions of higher education, for educational training, or to repay qualified student loans." As an AmeriCorps/VISTA volunteer, my husband received this award.

* The Nursing Education Loan Repayment Program "offers registered nurses substantial assistance to repay educational loans in exchange for service in critical shortage facilities."

* Peace Corps volunteers "with Perkins loans are eligible for a 15 percent cancellation of their outstanding balance for each year of Peace Corps service."

* The Indian Health Service has a loan repayment program that is aimed at "obtain[ing] health professionals to meet the staffing needs of the IHS in Indian health programs."

* The Federal student loan repayment program "permits agencies to repay Federally insured student loans as a recruitment or retention incentive for candidates or current employees of the agency."

* The Association of American Medical Colleges maintains a list of U.S. programs that "offer financial assistance, in the form of loan repayments, for a commitment to service (generally in an area of need). Information regarding each program has been provided by state health departments and other agencies, medical and health professions schools, federal programs, and military agencies." Opportunites are in medically underserved ares (often rural or inner-city).

These are some great ways to get rid of your debt. More importantly, they are wonderful ways to make a positive difference in our society.

"It is not because things are difficult that we do not dare; it is because we do not dare that they are difficult." - Seneca