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StudentPayoff

Mississippi's Rural Physicians Scholarship is a meaningful pipeline tool — it can substantially reduce med-school debt for students committed to rural Mississippi practice.

Mississippi student loan snapshot

Average debt per borrower$37,000
Taxes federal forgiveness as income?No
State student-loan interest deduction beyond federal?No (federal $2,500 above-the-line deduction still applies)
In-state refi noteKeesler Federal Credit Union and Mississippi Federal Credit Union are notable MS-based options; cross-shop with national lenders for the most competitive student-loan refi APRs.

Figures are 2025/2026 approximations. Tax treatment in particular evolves year to year — confirm exact rules with your tax preparer or the state Department of Revenue before relying on them.

Mississippi forgiveness & repayment-assistance programs

Mississippi does not tax federally forgiven student debt as state income. State programs concentrate on rural healthcare and a meaningful teacher-loan/forgiveness pipeline (MTLR).

  • Mississippi Teacher Loan Repayment Program (MTLR) — up to $3,000/yr for licensed MS teachers in critical-shortage areas.
  • Mississippi Rural Physicians Scholarship Program — service-conversion scholarship for future rural MS physicians.
  • Mississippi State Loan Repayment Program (NHSC partner) — for primary-care providers serving HPSAs.

Note: state-funded program funding levels and eligibility windows change annually. Always confirm current funding and application periods on the state agency's website before counting on any program.

Run the numbers on a typical Mississippi debt load

We've pre-filled the balance below with Mississippi's average per-borrower debt of $37,000. Tweak the rate and payment to match your real situation.

Loan details

$
%
$
$
Every dollar above the scheduled payment goes straight to principal.
Time to debt-free
10 yr 9 mo
Payoff date: Feb 2037

Principal vs interest

Total paid$51,479
  • Principal$37,000
  • Interest$14,479
Total interest
$14,479
Total paid
$51,479
Balance
$37,000
Months
129

Mississippi student loan FAQ

What student loan forgiveness programs exist in Mississippi?

Mississippi does not tax federally forgiven student debt as state income. State programs concentrate on rural healthcare and a meaningful teacher-loan/forgiveness pipeline (MTLR).

How much is the average student debt in Mississippi?

The average student loan debt per borrower in Mississippi is approximately $37,000. National averages run around $37,000 per borrower in 2026, so Mississippi sits near the national average.

Does Mississippi tax federal student loan forgiveness as income?

Mississippi does not tax federally forgiven student debt as state income. (For federally taxable years, the federal government may still tax the forgiven amount unless Congress extends the American Rescue Plan exclusion past 2025.)

Can I deduct student loan interest on my Mississippi state taxes?

Mississippi doesn't currently offer a state-specific student loan interest deduction beyond the federal $2,500 above-the-line deduction. Confirm the latest with the state Department of Revenue before filing.

Should I refinance my federal student loans in Mississippi?

Refinancing federal loans into a private loan is permanent — you forfeit PSLF, IDR (PAYE/SAVE/IBR/ICR), and federal forbearance protections. Only refi if you're confident you won't need any of these. Use our refinance calculator to model the savings, and the lender comparison below to see real rates.

Are there Mississippi-specific refi lenders?

Keesler Federal Credit Union and Mississippi Federal Credit Union are notable MS-based options; cross-shop with national lenders for the most competitive student-loan refi APRs.

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