Forgivable Education Loans for Service
Description
The Forgivable Education Loan for Service was established by the North Carolina General Assembly in 2011 and the first loans available for the 2012-13 academic year. The loan provides financial assistance to qualified students who are committed to working in North Carolina in fields designated as critical employment shortage areas. For the 2012-2013 academic year, eligible degree programs may be found by clicking the link below (www.cfnc.org/fels).
Eligibility
A recipient must meet the following eligibility criteria:
- Be a legal North Carolina resident and NC resident for tuition purposes
- At the time of application, present a minimum grade point average (GPA) of:
3.00 for graduating high school students (weighted GPA)
2.80 for undergraduate students pursuing an associate or bachelor’s degree
3.20 for students pursuing a graduate or professional degree
- Register with the Selective Service System, if required;
- Recipients must not be in default, or does not owe a refund, under any federal or State loan or grant program
- Maintain Satisfactory Academic Progress according to the enrolling policy of the institution.
- Be willing to work in NC in a designated critical employment area.
Value
Annual Loan Amounts are as follows:
- Certificate or associate degree programs: $3,000
- Bachelor’s degree program: freshmen and sophomores $3,000
- Bachelor’s degree program: junior and senior: $7,000
- Master’s degree program: $10,000
- Doctoral degree program: $14,000
Maximum Aggregate Loan Limits:
- Certificate and/or associate degree programs: $6,000
- Bachelor’s degree program: $20,000
- Master’s degree program: $20,000
- Doctoral degree program: $56,000
Application
The application is available here. The application deadline for the 2012-2013 academic year is April 1, 2012.
All applications must be received by the deadline listed above. For further information regarding the application process or this forgivable loan, please call CFNC at 866-866-CFNC (2362).
Periodic updates will be provided during the application period and can be viewed at a link in the Related Links section below to be added a future date.
Other Information
FELS loan recipients must sign a promissory note that will require them to seek loan forgiveness through employment in an approved position or repay the loan in cash. Loan forgiveness is described in the FELS Rules. Generally, a loan for one academic year will be forgiven for one year of full-time employment. Loans will accrue interest at the rate of 8% per year from the date of the loan disbursement.
FELS Potentially Eligible Schools