Student Loan Reimbursements

January 15, 2025

Beginning this month, Connecticut college students may be able to benefit from a bill we passed to help alleviate student loan debt.

A new reimbursement program, led by House Democrats and the first of its kind in the nation, provides up to $5,000/year for up to four years (up to a total of $20,000) in loan forgiveness. Six million dollars has been allocated in the current budget cycle and will be awarded on a first-come, first-served basis.

Student Loan

The state Office of Higher Education (OHE) will review and qualify applicants for the program. To participate, residents have to meet the following requirements:

  1. Must have graduated from a Connecticut state public or private college or university with a bachelor’s or associate degree or have an occupational/professional license or certificate or left such college in good standing and was granted a hardship waiver by the Office of Higher Education.
  2. Must be a CT resident for at least five years.
  3. Must have a Connecticut adjusted gross income of not more than $125,000 for single applicants and file a federal tax return as unmarried or have a Connecticut adjusted gross income of not more than $175,000 for married applicants and file a federal tax return as head of household, married filing jointly or a surviving spouse.
  4. Must have an outstanding student loan balance and have made payments in 2024 toward federal direct loans, federal direct PLUS loans, federal Perkins loans, CHESLA loans, other state’s sponsored student loans, or a private student loan.
  5. Must have volunteered for at least 50 hours at a Connecticut nonprofit organization that is registered with the Department of Consumer Protection, municipal government, served on the Board of Directors for a nonprofit organization, or has military service after January 1, 2024.

This program represents a true bipartisan effort and will have a direct positive impact not only on Connecticut’s economy but also on its workforce.

Questions should be directed to OHE.SLRP@CT.GOV. The application process opened January 1. For more information and to learn how to apply, click HERE.

You can read more about this new program in this article from the CT Post.

In addition, the Connecticut Office of the Student Loan Ombudsperson has been established within the Department of Banking to serve as a resource on all issues related to student loans. There are currently over 500,000 Connecticut residents with outstanding student loans.