Federal Student Loan Repayment Program

I would like expert help and advise with this application

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 program implements 5 U.S.C. 5379, which authorizes agencies to set up their own student loan repayment programs to attract or retain highly qualified employees.


Although the student loan is not forgiven, agencies may make payments to the loan holder of up to a maximum of $10,000 for an employee in a calendar year and a total of not more than $60,000 for any one employee.

Service Agreement

An employee receiving this benefit must sign a service agreement to remain in the service of the paying agency for a period of at least 3 years. An employee must reimburse the paying agency for all benefits received if he or she is separated voluntarily or separated involuntarily for misconduct, unacceptable performance, or a negative suitability determination under 5 CFR part 731.  In addition, an employee must maintain an acceptable level of performance in order to continue to receive repayment benefits.

Loans That Qualify

  • Stafford loans
  • PLUS loans
  • Federal Consolidation loans
  • Defense loans
  • National Direct Student Loans (made between July 1, 1972 and July 1, 1987)
  • Perkins loans
  • Nursing Student Loan Program loans (NSL)
  • Health Professions Student Loan Program loans (HPSL)
  • Health Education Assistance Loan Program loans (HEAL)
Next Steps

You will need to contact the federal agency where you work for further information about applying for the program.

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