; and (2) is not in default on a loan for which the borrower seeks forgiveness. (b) Method of loan forgiveness To provide loan forgiveness under subsection (a) , the Secretary shall carry out a program— (1) through the holder of the loan, to assume the obligation to repay a qualified loan amount for a loan made, insured, or guaranteed under part B (other than an excepted PLUS loan or an excepted consolidation loan (as such terms are defined in section 493C(a))); and (2) to cancel a qualified loan amount for a loan made under part D (other than an excepted PLUS loan or an excepted consolidation loan). (c) Qualified loan amount (1) Forgiveness of percentage of debt based on years of service For each complete year of service by a borrower as a STEM teacher in accordance with this section after the date of enactment of the STEM K to Career Act , the Secretary shall forgive the student loan obligation of the borrower at the rate of 15 percent of such obligation for the first or second year of such service, 20 percent of such obligation for the third or fourth year of such service, and 30 percent of such obligation for the fifth year of such service. (2) Principal and interest forgiven If a portion of a loan is forgiven under this section for any year, the entire amount of interest on such loan which accrues for such year shall be forgiven. (d) Special rules (1) List of schools If the list of schools in which a STEM teacher may perform service pursuant to subsection (a)(1) is not available before May 1 of any year, the Secretary may use the list for the year preceding the year for which the determination is made to make such service determination. (2) Continuing eligibility Any teacher who performs service in a school which— (A) meets the requirements of subsection (a)(1) in any year