Veterans Disability Discharge

Veteran borrowers will be considered totally and permanently disabled for purposes of this discharge if they provide documentation from the U.S. Department of Veterans Affairs (VA) showing that they have been determined to be unemployable due to a service-connected disability. 

Veterans Disability Discharge Standards 

There are two types of disability ratings granted by the VA that qualify a veteran for a discharge of his or her Title IV student loans and/or TEACH Grant service obligation based on the statutory standard described above:

How to Apply 

A veteran applying for TPD discharge must provide a VA Rating Decision or a letter from the VA confirming that the veteran has received one of the qualifying ratings (100% disabled due to one or more service-connected disability conditions or individual unemployability). If the veteran provides this documentation, the veteran is not required to have a physician complete Section 4 of the TPD Discharge Application or provide any additional documentation related to his or her disabling condition.  The veteran applying for TPD discharge will only need to complete Sections 1 and 3 of the TPD Application.

Eligible for Discharge

If the veteran qualifies for discharge under this separate process, the veteran will receive immediate discharge and will not be subject to the three-year post-discharge monitoring period.  The veteran's loan holder(s) will refund any payments received after the effective date of the grant of disability.

Not Eligible for Discharge

 If the veteran is not deemed eligible by his or her loan holder(s), the veteran can still apply for total and permanent disability discharge through the standard process described throughout the rest of this Web site. The veteran must have his or her physician complete Section 4 of the TPD application, and the veteran will be subject to the three-year monitoring period under the standard TPD process. 

Further Information