Future Teachers of North Carolina (FTNC) Loan Forgiveness FAQ
The Future Teachers of North Carolina program was created by the North Carolina General Assembly in 2005 to provide financial assistance to college juniors or seniors pursuing a degree to teach math, science, special education, or English as a Second Language, and who agree to teach in that subject area in the public schools of North Carolina.
A recipient who graduates from the FTNC program and secures a qualified position may apply to repay the loan obligation through loan forgiveness. NCSEAA shall forgive one-third (1/3) of the principal balance for each year of full-time qualified employment. A recipient must complete loan forgiveness within five (5) years of graduation, excluding periods of approved deferments. All worksites must be approved by NCSEAA.
A recipient who does not graduate from the program will be required to repay the loan in cash, which includes a 10% interest rate beginning ninety days after withdrawal from the program. Cash payments are due ninety (90) days after withdrawal from the program. For additional instructions on cash repayment click on the Cash Repayment link.
How to apply for loan forgiveness.
To qualify for loan forgiveness, you must first graduate from the program for which you received financial assistance, obtain licensure from the North Carolina Department of Public Instruction, and secure full-time employment in a qualified position. You must follow the steps out-lined below to apply for loan forgiveness. You are responsible for submitting the appropriate forms to NCSEAA on time.
- Notify NCSEAA of your intent to repay through loan forgiveness within 90 days of graduation. You should notify NCSEAA even though you may not have secured a qualifying position. You may complete this process during the exit interview process on the Student Portal or through Repayment Services at (919) 549-8614, ext. 4654 or (800) 700-1775, ext. 4654.
- Obtain teacher licensure from the North Carolina Department of Public Instruction.
- Secure a qualified position.
- Complete a Loan Forgiveness Application form and return it to NCSEAA for approval.
What is a qualified position? Am I required to work in a designated shortage area in North Carolina?
The purpose of the FTNC loan program is to increase the number of qualified science, math, special education, and English as a Second Language teachers available to the public schools in North Carolina. You must teach full-time in one of the subject areas in a North Carolina public school in order to qualify for loan forgiveness.
What forms do I submit to NCSEAA?
Once you are licensed by the North Carolina Department of Public Instruction and secure a qualifying position, you must submit a Loan Forgiveness Application form to NCSEAA for approval.
How long must I work to fulfill my loan forgiveness obligation?
You must work full-time in North Carolina as a science, math, special education, or English as a Second Language teacher for three (3) years within five (5) years of graduation in order to fulfill your loan forgiveness obligation. For each year of qualified employment, NCSEAA will forgive one third (1/3) of the principal balance, plus any accrued interest. Credit for loan forgiveness is approved annually by NCSEAA at the
end of each year of employment. You must complete your loan forgiveness obligation within five (5) years of graduation from the FTNC program.
What if I change my worksite?
If there is a worksite change before you complete your FTNC obligation, you must seek approval from NCSEAA prior to the change to ensure that the new site qualifies for loan forgiveness.
What if I have a break in employment?
If you have a break in employment prior to the completion of your obligation, you may be eligible to postpone or defer payments. To apply for deferment, you must submit a Postponement/Deferment Form to NCSEAA for approval. Eligible deferments include: personal illness, Family Medical Leave, full-time student enrollment, and unemployment.
What happens if I cannot fulfill my loan forgiveness obligation?
You made a commitment to repay this loan when you signed the promissory note accepting education funding from NCSEAA. If you cannot repay the loan through loan forgiveness, then you must repay it in cash within ten (10) years of graduation or withdrawal from the FTNC program. For additional instructions on cash repayment, click on the Cash Repayment link.
Whom should I contact if I have additional questions concerning loan forgiveness?
Additional information is available in the FTNC Rules and Regulations or you may contact Repayment Services staff between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday.