Board of Governors’ Medical Scholarship Loan Program (BGMSL) – Inactive Program

The BGMSL Program provided forgivable loans to qualified medical school students in North Carolina who are committed to practicing medicine in North Carolina. You must complete loan forgiveness within seven years of graduation, excluding periods of approved deferments.

You must repay the loan through loan forgiveness or cash repayment.

Option 1: Loan Forgiveness

Requirements

You must meet the following requirements to qualify for loan forgiveness:

• Graduate from an approved medical school (Duke University School of Medicine, Brody School of Medicine at East Carolina University, University of North Carolina at Chapel Hill School of Medicine, or Wake Forest University School of Medicine)
• Obtain licensure from the North Carolina Medical Board
• Secure a full-time position as a physician in North Carolina

How to Apply for Loan Forgiveness

1. Submit verification of graduation from medical school to NCSEAA.
2. Notify NCSEAA of your intent to repay the loan through loan forgiveness within 90 days of graduation.
3. Obtain license to practice medicine from the North Carolina Medical Board.
4. Secure a full-time position as a physician in North Carolina.
5. Complete a Loan Forgiveness Application form and return it to NCSEAA for approval.

For additional information, see Frequently Asked Questions about Loan Forgiveness.

Option 2: Repay the Loan in Cash

If you cannot repay the loan through loan forgiveness, then you must repay it in cash within 20 years of graduation, completion, or withdrawal from the BGMSL Program. You may repay the loan in one lump sum or monthly installment payments.

For additional information and instructions on how to repay in cash, visit Frequently Asked Questions: BGMSL Cash Repayment.

Deferment

A deferment is a period in which loan forgiveness or cash repayment of a loan is postponed or delayed. Although payments are not due during a deferment period, interest at the rate of ten percent will continue to accrue on the outstanding principal balance of your BGMSL loan. You may apply for deferment by completing and returning a Postponement/Deferment Form to NCSEAA for approval.

For additional information visit Frequently Asked Questions: BGMSL Deferment.