Loan Repayment Assessment

What questions should I ask about a program?

When exploring a potential loan repayment or scholarship program, it’s important to assess your risk!

Eligibility Requirements

• Is your discipline/profession included?

Service Commitment

• How long are you obligated to the program for?

HPSA Score

• Is it required you work in a HPSA to apply for loan repayment?
• If so, how high of a HPSA score has been needed for approval in the past?

Repayment Obligations

• What are the penalties if you back out of the service you’ve committed to?

Financial Benefits

• What amount of money (or other financial incentive) will you receive?

Application Requirements

• Are there certain requirements you must meet to apply?
• If so, what are they?

Tax Liability

• Some financial incentives can be subject to income tax!
• Be certain you are aware of any pertinent tax laws.
• NHSC programs are exempt from both state and federal income tax.
• Remember that even if you are going to work in a state with no income tax, there may be federal income tax to consider if a program is not exempt.
• When in doubt, check with your accountant.

Reporting Requirements

• Do you (or your employer) have to report any data back to your funder during the time you’re participating in the program?
• What do you have to report?
• When do you have to report it?