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Consolidation & Forgiveness

Options for Student Loans

If you are having problems making your student loan payments and have already explored all loan repayment plans, there are additional options to explore, including New Mexico student loan forgiveness and consolidation.

Special Federal Student Loans Notices

Public Service Loan Forgiveness (PSLF)—Am I eligible?

Currently, Public Service Loan Forgiveness is not available for FFELP Loans.

Our team is available for any questions or payment assistance. 505-345-3371 | 800-279-5063

Public Service Loan Forgiveness

Additional PSLF Information

Information on the limited PSLF waiver
Public Service Loan Forgiveness | Federal Student Aid

PSLF Help Tool find out if the Department has previously determined whether your employer qualifies for PSLF or not
StudentAid.gov/pslf

 Information about PSLF
StudentAid.gov/publicservice

Create a FSA ID: which will enable you to receive direct communications from the Department as well as use the PSLF Help Tool and consolidate your loans
StudentAid.gov/fsa-id/create-account

Federal Loan Consolidation Application
StudentAid.gov/consolidation

Additional Questions 
Call 1-800-4-FEDAID

Loan Consolidation

Loan consolidation is an option that combines all your federal student loans into one new loan with one monthly payment. Consolidation should be considered if you are at risk of student loan default.

What types of loans are eligible for consolidation?

  • Most federal student loans can be consolidated – learn more
  • Private student loans cannot be consolidated but they can be refinanced

What are the benefits of consolidation?

  • Simplifies all of your loan payments into just 1 monthly payment
  • Make smaller monthly payments
  • Extend repayment timeframe period
  • Combine all loans to one fixed interest rate

What are the disadvantages of consolidation?

  • You might pay more with increased interest
  • Loans will take longer to pay off
  • You might lose certain benefits (like interest rate discounts and loan forgiveness options) from your original loans

Learn more about loan consolidation

Loan Forgiveness

If you meet specific qualifications, certain federal student loans can be forgiven, cancelled or discharged. This means that your debt will be erased and you no longer have to make any payments. Private student loans are not eligible for student debt forgiveness.

How can I get loan forgiveness?

  • If you are a Military Service Member, a Teacher or are in other qualifying non-profit Public Service jobs there are special programs for federal student loan forgiveness.
  • Perkins Loans have special loan cancellation programs
  • Loans can be forgiven if you are permanently disabled
  • Only in very rare cases are student loans discharged in bankruptcy

Learn more about loan forgiveness

Beware of Scams

Beware of Loan Consolidation and Forgiveness Scams

Unfortunately, many companies that offer student loan debt relief are trying to make money off people who need help with their student loans. You should never pay for help with a loan consolidation or student debt forgiveness. The following loan assistance services are free:

Learn more about loan consolidation, refinancing and forgiveness scams