Work out student loan forgiveness estimate instantly with clear inputs, formula shown and shareable results.
Forgiveness programmes cancel whatever remains after a set number of qualifying payments. Rolling the balance forward at the loan rate against your payment shows how much would still be outstanding on the forgiveness date.
Balance at forgiveness
Roll Balance ← Balance(1+r) - payment for the qualifying months; the remainder is forgiven
Figures are estimates. Lenders apply their own rounding, fees and eligibility rules, and rates change. This is not financial advice — confirm the numbers with your lender.
It depends on the programme and jurisdiction — some cancellations are tax-free, others count as income in the year of forgiveness.
Yes, but interest accrues meanwhile, so total cost depends on whether the programme also subsidises unpaid interest.