Loan Cancellation & Repayment

Upon completion of the doctorate, loan cancellation is available to CDIP fellows with loans in good standing who obtain instructional faculty appointments within the CSU.

Individuals who teach full-time during an academic year earn 20% cancellation of the original loan amount. Individuals who teach at least half-time during an academic year earn 10% cancellation of the original loan amount. The cancelled loan amount, including forgone interest, is reported as imputed income and subject to Federal income tax withholding.

Individuals can receive cancellation for full-time teaching or part-time teaching. To qualify for 20% loan cancellation, one must teach full-time for a year. Full-time is the equivalent to 24 WTU’s on a semester system campus or 36 WTU’s on a quarter system campus. To qualify for 10% cancellation, participants must teach at least half-time in a year. Half-time equivalent is equal to 12 WTU’s on a semester system campus and to 18 WTU’s on a quarter system campus.

Loan cancellation is not automatic nor retroactive; CDIP fellows are responsible for contacting the CDIP office at the start of each academic year to register for loan cancellation. Loan cancellation is not provided for any payments due in the time between the end of the post-doctoral grace period and appointment as a CSU instructional faculty member.

Loan Cancellation Statement

Download the Loan Cancellation Statement (.pdf) for your records. It provides information regarding the eventual Federal tax obligations that ensue when you have earned the doctoral degree and teach at a CSU campus. When you are ready to benefit from the cancellation provisions of the program, there are significant tax implications that effect (increase) your reported annual income and (reduce) your monthly take-home pay. The Loan Cancellation Models (.pdf) provide a typical schedule for full-time and part-time cancellation over 5 years.

Loan Repayment

After completing your doctoral program or withdrawing from the program you will have a one-year grace period before going into repayment. The grace period starts the day your degree is confirmed. Withdrawing from the program or failing to submit your required Student Enrollment Verification Form (SEVF) can also place you into billing. Once the grace period ends, you will be placed into billing through Heartland ECSI.

15-Year Payback Plan Schedule

Download the 15-Year Payback Plan Schedule (.pdf) for your records. This is a typical payback plan for your reference. The sooner you pay back your loan, the less interest you will pay. The numbers may vary depending on individual account activity. Based on this plan, a minimum monthly payment of $237.24 is required to pay back a $30,000 loan at 5% APR, in 15 years.

To access your account and make payments, you will need to contact Heartland ECSI at or at 888-549-3274.