Total and Permanent Disability (TPD) Discharge

Understanding TPD

The Total and Permanent Disability (TPD) discharge program relieves you from having to repay a William D. Ford Federal Direct Loan, a Federal Family Education Loan (FFEL), or a Federal Perkins Loan, and completes a TEACH Grant service obligation on your behalf.

How to Qualify

There are three ways to prove eligibility for a TPD discharge:

1. Veterans Affairs (VA): If the VA has determined you are unemployable due to a service-connected disability.
2. Social Security Administration (SSA): If you receive SSDI or SSI and your next scheduled disability review is within 5 to 7 years.
3. Physician Certification: A Doctor of Medicine (M.D.) or Doctor of Osteopathy (D.O.) can certify that you are unable to engage in any substantial gainful activity due to a physical or mental impairment expected to last continuously for at least 60 months.

Because of recent systemic updates, many SSA and VA matches are now automated, meaning eligible borrowers will receive notification of their discharge without even applying. If you haven't, you must manually submit the application to Nelnet, the servicer who handles all TPD claims.