WILLIAMS ANNOUNCES CREATION OF ARMED FORCES LOAN FORGIVENESS

HARRISBURG, August 21, 2003 – Students who served in the Armed Forces on active duty since Sept. 11, 2001 are eligible for Pennsylvania’s Armed Forces Loan Forgiveness program, State Sen. Connie Williams announced today.

“Pennsylvania created the Armed Forces Loan Forgiveness program to honor the courage, commitment and patriotism of servicemen and women who served in the aftermath of the most brutal terrorist attack in our nation’s history,” Williams (D-Montgomery) said.

This program will provide a one-time loan forgiveness benefit up to $2,500 for student borrowers who served in the Armed Forces in an active duty status between September 11, 2001, and September 30, 2003, provided they have an eligible loan and meet the following eligibility requirements:Served in the Armed Forces in an Active Duty Status between 9/11/01 and 9/30/03 (excluding the annual two-week training period).

• Must have an eligible, non-defaulted loan(s): PHEAA Guaranteed and/or AES owned loans serviced by AES which are either Stafford, Consolidation, PLUS, SLS, HEAL, or KeystoneEXTRA. These loans must be disbursed on or before 9/30/03.
• Must hold one of four connections to Pennsylvania: (1) Currently a resident of Pennsylvania, (2) A non-resident of Pennsylvania who left a PA approved institution of post-secondary education due to a call to active duty, (3) A non-resident of Pennsylvania who was living in Pennsylvania at the time of enlistment, or (4) A non-resident of Pennsylvania who enlisted in the military immediately after attending a PA approved institution of post-secondary education.

PHEAA will automatically send applications to potentially eligible recipients based on military forbearance and deferment records. More information is available at http://www.pheaa.org/loanforgiveness/armed_forces.shtml or by calling 1-800-233-0557.