Loan Forgiveness Program and Refinancing

Loan forgiveness and refinancing opportunities are available to support you after you graduate from Stanford GSB.

We are dedicated to preparing our MBA graduates to lead institutions in all industries. In order to encourage MBAs to make meaningful contributions to social issues, economic growth, and political stability in organizations where salaries are typically lower, we offer a loan forgiveness program to reduce the financial impact of educational debt, by paying a percentage of graduates’ Stanford GSB loan obligations while they are employed in the nonprofit or public service sectors.

Loan Forgiveness Program

You can participate in the Stanford MBA Nonprofit/Public Service Loan Forgiveness Program at any point while you are repaying your Stanford GSB loans. Eligibility during any given year does not automatically qualify you for a future year. Loan forgiveness is dependent on available funding.



To be eligible for the program, you must be working at a Stanford GSB-approved organization that meets one of the following descriptions:

  • A qualified nonprofit organization — such as an Internal Revenue Code-approved section 501(c)(3) or 501(c)(4) organization, or a foreign equivalent — which aims to better society through constructive means

  • A local or national government

You must work at the organization at least part-time (20 hours per week or more), with the intention of being at the organization for at least six months.

You are required to notify our office immediately if:

  • You change jobs

  • Your salary changes

  • Your marital status changes

These changes will affect your eligibility. If at any point you become ineligible for the program, you may be required to repay funds received.

You may work at a for-profit organization as long as you also work at least part-time at a qualified 501(c)(3) or 501(c)(4) organization.

Volunteer Positions

We consider volunteerism willful employment without compensation; therefore, volunteer activities are not considered qualifying employment for the program.

Consulting or Contract Employment

Consulting or contract employment at a qualified nonprofit organization or approved local or national government (e.g., receives compensation reported on a 1099) does not qualify for this program.


You must demonstrate that you would face undue financial hardship if required to repay the loan in full without financial support. We calculate your adjusted income to determine the amount of loan forgiveness for the year in which you apply. You are expected to have a minimum income to cover a reasonable cost of living.

Adjusted Income Eligible Loan Forgiveness

$95,000 or less

Full amount of annual loan payments

More than $95,000

A percentage of annual loan payments

In calculating your adjusted income, the Financial Aid Office will include other forms of taxable income such as interest income and dividends, as well as non-taxable income such as 403(b) and 401(k) contributions.

Income Eligibility Threshold

We annually update the income threshold we use to determine eligibility for full loan forgiveness. The amount is based on a percentage of the median base salary and other compensation of Stanford GSB’s prior year’s graduating class. Income eligibility information typically is updated each year in October.


We may consider assets in our adjusted income calculation. Although a reasonable amount of assets will not disqualify you, substantial amounts of assets may lead to a reevaluation.


The financial aid office will include only original loans borrowed while attending Stanford GSB to help fund your education. All loans must have been certified and administered by the Stanford GSB Financial Aid Office. Loans must be in repayment status when applying. The minimum repayment plan length we will consider is 10 years (120 months).

Only loans in good standing are eligible. An applicant’s loans will not be eligible if the loans are:

  • Eligible for or in deferment/forbearance

  • Past due

If you have consolidated your loans borrowed for your Stanford GSB education, you are eligible for this program if they were consolidated through the Federal Family Education Loan or Direct Loan Consolidation Program.

Forgivable loans, funds received from employers under conditional contracts (e.g., tuition reimbursement, salary advance, etc.) to pay tuition, books and supplies, and other fees, are not eligible for the program.

This is not an entitlement program. The financial aid office determines eligibility for this program on a case-by-case basis, and these decisions are final. We reserve the right to change eligibility guidelines and required application materials at any time. It is also within our discretion to take into account other relevant criteria as needed when determining your eligibility.

If you are a joint or dual degree student, contact the financial aid office before applying for more information about your eligibility.

Refinancing Student Loans

As lending markets change, several lenders are now offering refinance/consolidation loans specifically for Stanford MBA students.

These loan programs allow alumni to either consolidate just private loans or refinance all loans — both private and federal — borrowed while attending MBA school. Most offer either a fixed or variable interest rate. For more information about refinancing options, please contact the financial aid office.

Last Updated 12 Jun 2020