Teacher Education Loan

The Teacher Education Loan provides funding to cover education expenses for Alaska high school graduates nominated by rural school districts to pursue a degree in elementary or secondary education. Borrowers may be eligible for up to 100% forgiveness of their debt if they return to Alaska and teach in a rural area.

Origination fee - 5%

 Interest Rates, Borrower Benefits, and Loan Limits

 

2012-2013 (Effective 7/1/2012)

Rates and Borrower Benefits

The base note rate is fixed, but borrower benefits are variable and may change annually.1

In-School/Grace Period

 

Repayment Period

 

Base note rate

 

0% In-School
7.20% Grace
(2.13% APR2)

 

7.20%
(7.20% APR2)

 

Recurring online payment 3

 

N/A

 

-0.25%

 

Lowest rate for qualifying term

 

N/A

 

6.95%

 

 

2012-2013

Loan Limits

Annual

Aggregate

Undergraduate

$7,500

$37,500
  
 To Apply

Eligibility Requirements

To qualify for an AlaskAdvantage Teacher Education Loan you must:

  1. be nominated by a qualifying Alaska school district
  2. be a U.S. citizen or eligible non-citizen, and an Alaska resident;
  3. meet criteria set by the nominating school district
  4. not be delinquent or have ever defaulted on a prior student loan or be past due in child support obligations
  5. not have a credit history that demonstrates chronic inability or unwillingness to pay an extension of credit, or have a credit-worthy cosigner;
  6. graduate from an Alaska public or private high school
  7. be enrolled or intend to enroll in a four-year bachelor degree program in elementary or secondary teacher education, or enrolled in a fifth-year teacher certification program on a full-time basis.
  8. have complied with any applicable military selective service registration requirements.

Borrowers must meet all other eligibility requirements, as stated under 20 AAC 15.200.

To Apply

 

Rural school districts annually nominate Alaskans for the Teacher Education Loan based on high school academic performance and the students' intent to teach in a rural Alaska school.

 

Teacher Education Loan application forms are sent only to qualified nominees.

 

Applications must be completed and returned by July 1.  

 

In order to qualify for forgiveness, students must return to Alaska and teach at a school in a qualifying rural community.  Rural is defined as:

 

A) a community having a population of 5,500 or less, and not on the road or rail system to Anchorage or Fairbanks; OR

B) a community having a population of 1,500 or less, and connected by road or rail system to Anchorage or Fairbanks.