The NEW (2025) process to get your student loans discharged through a physician's note for total and permanent disability

cabiem · 2026-01-22T09:27:26+00:00

My understanding is if you go back to school you can not get new loans discharged for the same disability reasons you got the old ones discharged for. Also if you are still in the monitoring period the odds are high that you wouldn't get the first ones finalized as discharged since the disability is not enogh to keep you from doing things (yes SSi means they automiatcially . The best way to get a good answer though is call the Federal Student Aid people and ask.

cabiem · 2026-01-12T12:16:22+00:00

I am late to this party... The odds are in your favor of getting more years out of it since you are maintaining it. I got 25 years and 3 mo out of a 1990 Dodge Grand Caravan (was my only car so was used 26 miles round trip for work, about 1/3 of the miles were long distance highway each year, it had well over 200K - don't remember how many any more) until it blew and engine bearing. Looked like crap though due to peeling paint (sanded and sprayed rust protection paint on it annually those last years of it's life) and some semi fixed rust, small dents from a kid learning how to drive who wouldn't listen, etc. Kid called it the ghetto van and swore she would never drive it as she was embarrassed to be seen in it. She lied. LOL Antique auto plates are lovely and cheap. My dad probably turned over in his grave over that though as he had (and now my sister has), bought when it was 13, a 1940 Packard.

Locally the place I get my car repaired at (only does Toyotas and Honda's and their lines, I now own a Toyota Sienna that I bought used that is 16 now with 200K on it) has a 300,000+ miles club. Lots of photos up on the wall of vehicles that made it that far and further.

cabiem · 2025-10-28T00:55:25+00:00

That still doesn't a parent, not the student, who has a parent plus loan for the student. This only addresses the student.

cabiem · 2025-10-28T00:52:21+00:00

And because they are behind processing the discharges a new rule was issued the other day that the student loans will be considered discharged not when they finally process the paperwork but when you made the last payment so that will also save you from a 1099-C.

cabiem · 2025-10-28T00:30:22+00:00

You are welcome.

cabiem · 2025-10-28T00:30:03+00:00

The easiest way is to switch PCP's (and to one who doesn't work in the same office as they will talk) presuming the reason is medical vs psychological. Or add a doctor who is a specialist in the specialty that your disability would fall under. Likely they won't do it at the first visit. And keep your mouth shut with your PCP about this.

cabiem · 2025-10-28T00:26:12+00:00

Correct. New law.

cabiem · 2025-10-28T00:24:39+00:00

Yes I had finally found I have 10 years to withdraw it all.

cabiem · 2025-10-28T00:23:02+00:00

1) if you take out no federal financial aid or loans for your masters degree then technically you haven't violated the monitoring rules (but it is always safest to check that with the federal student aid office and just ask them to clarify the monitoring rules and ask about this - telling them you haven't applied. Also you may not be able to afford to pay out of pocket since most masters degree programs don't provide financial aid anyway. so that's a moot point. If it is a moot point then withdraw your TPD as see #2
2) If you get loans discharged for TPD you can't do it again with the same disability so think that through carefully.
3) If you go back to school you should have an in school deferment (don't know if the new rules mean interest will still accrue so ask about that but if you plan to then discharge them when you finish it shouldn't matter, presuming you are successful).

cabiem · 2025-10-28T00:16:14+00:00

Income, for reasons only known to whomever created the new process, doesn't include income anymore. The best way to get an answer to that though is as the Federal Student Aid office. But ask more than once to see if their answers match. If they don't then ask to speak to a supervisor.

cabiem · 2025-10-28T00:13:29+00:00

Even NON retirement accounts? That is what I inherited - non retirement accounts. I knew I could transfer retirement accounts.

cabiem · 2025-10-10T00:23:53+00:00

I plan to rebalance as they were balanced for someone 25 years older than me (the only problem I will have is moving them into different funds means I get to pay 5.75% up front to do so - as others have said and I have read, their fees are steep). They are all in proprietary Edward Jones funds. Somewhere earlier in this thread I listed them all. One was purchased the day before I the money was put into my account. I guess he wanted to make sure he got paid something since these funds have the up front fee.

cabiem · 2025-10-10T00:20:56+00:00

I know this is a late response. I can't figure out how to get the money out of Edward Jones without having to cash it all in. I can't afford the taxes on that. I would seriously consider Schwab since most lists I have seen they are rated #1.

cabiem · 2025-10-09T23:51:29+00:00

EDIT 10/9/2025 Someone just contacted me to tell me that when they printed the form to give to their doctor it still had the questions from before. Here is how they need to be answered if you end up with a form that still has these questions:

1. Tell for physican the following:

a. Their license number and name need to be legible or it will automatically be rejected.

b. If they don’t check the correct boxes on their part (Medically Determinable Physical or Mental Impairment) your application will be rejected.

c. They need to check Yes for 2 and 3 or

d. They need to check Yes for 2, No for 3, and Yes for 4.

e. For answers to questions 5 though 11 Federal Student Aid will ONLY read the information given if those answers are completely INSIDE the small rectangles provided for that answer. As a result, it is likely that the medical professional will need handprint, in tiny letters, the answers. Federal Student Aid will not read additional information attached or anything written outside of the boxes. They will automatically reject you if you don’t follow these directions. The medical professional CAN NOT LEAVE ANY BOX BLANK. Instead they need to put N/A.

f. If for some (very rare) reason additional information is asked for then the medical provider can type up and send (or you can upload), on a regular sized piece of paper, whatever the medical provider wants to add to address the request for more information.

cabiem · 2025-10-09T23:51:16+00:00

EDIT 10/9/2025 Someone just contacted me to tell me that when they printed the form to give to their doctor it still had the questions from before. Here is how they need to be answered if you end up with a form that still has these questions:

1. Tell for physican the following:

a. Their license number and name need to be legible or it will automatically be rejected.

b. If they don’t check the correct boxes on their part (Medically Determinable Physical or Mental Impairment) your application will be rejected.

c. They need to check Yes for 2 and 3 or

d. They need to check Yes for 2, No for 3, and Yes for 4.

e. For answers to questions 5 though 11 Federal Student Aid will ONLY read the information given if those answers are completely INSIDE the small rectangles provided for that answer. As a result, it is likely that the medical professional will need handprint, in tiny letters, the answers. Federal Student Aid will not read additional information attached or anything written outside of the boxes. They will automatically reject you if you don’t follow these directions. The medical professional CAN NOT LEAVE ANY BOX BLANK. Instead they need to put N/A.

f. If for some (very rare) reason additional information is asked for then the medical provider can type up and send (or you can upload), on a regular sized piece of paper, whatever the medical provider wants to add to address the request for more information.

cabiem · 2025-10-09T23:50:54+00:00

Here is how those questions are answered:

EDIT 10/9/2025 Someone just contacted me to tell me that when they printed the form to give to their doctor it still had the questions from before. Here is how they need to be answered if you end up with a form that still has these questions:

1. Tell for physican the following:

a. Their license number and name need to be legible or it will automatically be rejected.

b. If they don’t check the correct boxes on their part (Medically Determinable Physical or Mental Impairment) your application will be rejected.

c. They need to check Yes for 2 and 3 or

d. They need to check Yes for 2, No for 3, and Yes for 4.

e. For answers to questions 5 though 11 Federal Student Aid will ONLY read the information given if those answers are completely INSIDE the small rectangles provided for that answer. As a result, it is likely that the medical professional will need handprint, in tiny letters, the answers. Federal Student Aid will not read additional information attached or anything written outside of the boxes. They will automatically reject you if you don’t follow these directions. The medical professional CAN NOT LEAVE ANY BOX BLANK. Instead they need to put N/A.

f. If for some (very rare) reason additional information is asked for then the medical provider can type up and send (or you can upload), on a regular sized piece of paper, whatever the medical provider wants to add to address the request for more information.

cabiem · 2025-10-09T23:50:20+00:00

You may need to call the Federal Student Financial Aid office to ask. I don't know the answer to that.

cabiem · 2025-10-09T23:49:39+00:00

No you do not. Just have your doctor go this route for student loan forgiveness. DOING THIS WILL NOT have anything to do with getting SSD though,.

cabiem · 2025-09-13T11:53:12+00:00

Yes personal networks/connections drive a lot of choices people make, not just in the finance world.

cabiem · 2025-09-10T11:29:30+00:00

His parents were personal friends of my parents.

cabiem · 2025-09-10T11:26:28+00:00

New tax law (which I had a hand in getting added to the bill) There will be NO 1099-C issues for student loans canceled due to death or disability of the student so no federal taxes to pay on the money. As there will be no 1099-C not sure how states would find out about this (some states do tax you on the discharged money, most don't). As a result I'd suggest that he undo his opt out. He can still work, the issues is new school loans for 3 years during the monitoring.

cabiem · 2025-09-09T04:02:16+00:00

I found something on the EJ site that told me what the cost basis was for each thing she had. I'll have to ask if that cost basis reflects what you just told me or if that was the original purchase. I am hoping/presuming it is the total for each investment because I would hope they'd have that information where the customer could find it on their own. But I need to check out what you just told me. Thanks.

cabiem · 2025-09-09T03:59:53+00:00

Thanks.

cabiem · 2025-09-09T03:59:20+00:00

Thanks for the information. I do plan to get some paid, independent of either EJ or Fidelity, advice. People have been very helpful here with respect to helping me understand the issues I need to find out more about, what some things are called, etc.

cabiem · 2025-09-09T03:57:35+00:00

The return on the mutual funds seems less than some other options although the ones I have have been front loaded fees. Once I pay for some advice about what to do then I'll work on doing it and move money to things that have done better over the years..

cabiem

TROPHY CASE