LOAN REPAYMENT PROGRAM

February 13, 2002

The Loan Repayment Program (LRP) is a special enlistment incentive that the Army offers to highly qualified applicants at the time of enlistment. Under the LRP, the Army will repay up to $65,000 of a soldier's qualifying student loans.

Content

• Loans
• Qualifying Loans
• Non-Qualifying Loans
  • Partial List of Non-Qualifying Loans
• Eligibility Criteria
• Frequently Asked Questions
• Contact Information
• References

Loans

Qualifying Loans

• Parent Loans for Undergraduate Students (PLUS)*
• Supplemental Loans for Students (SLS)
• Stafford Loans
• Perkins Loans
• William D. Ford Loans
• Consolidated Loans*

*(Note: Only loans incurred for the soldier’s education will be paid)

Non-Qualifying Loans

There are many loans that do not qualify. Individuals should ensure loans are covered under the Higher Education Act of 1965, Title IV, Part B, D, and E prior to signing the enlistment agreement. Listed below are several loans that are not covered under this Act:

• Private Loans
• Equity Loans
• State Funded Loans
• Institution Loans
• Consolidated Loans for someone else (wife, sister, brother)

                Partial List of Non-Qualifying Loans

Eligibility Criteria

• Must decline enrollment in the Montgomery GI Bill in writing, using DD Form 2366
• Have LRP guaranteed in writing in the enlistment contract (DA Form 3286-66).
• Be a non-prior service accession.
• Enlist with a high school diploma.
• Have an Armed Forces Qualification Test score of 50, or higher on the Armed Services Vocational Aptitude Battery (ASVAB).
• Enlist in one of the critical military occupational specialties (MOS). These MOS change quarterly. The local Army recruiter will have the current list.
• Possess a loan that was made, insured, or guaranteed under the Higher Education Act of 1965, Title IV, Part B, D, or E and prior to entering active duty.

(Note: It is Army policy that no one be enlisted with a defaulted loan; therefore, defaulted loans will not be repaid.)

Frequently Asked Questions

Contact Information

Direct questions regarding the Loan Repayment Program to a local Army Education Center or the Education Incentives and Counseling Branch.

CDR, USHRC
ATTN: TAPC-PDE-EI
200 Stovall Street, STE 3N17
Alexandria, VA 22332-0472

References

• Public Law 99-145, Section 671
  Supersedes, Public Law 96-342, Section 902
• Higher Education Act of 1965, Title IV, Part B, D, or E
• U.S. Army Recruiting Command Regulation 621-1
  Montgomery GI Bill (MGIB), Army College Fund, and Loan Repayment Program (LRP)
• Army Regulation 621-202
  Army Educational Incentives and Entitlements
• Army Regulation 601-210
  Regular Army and Army Reserve Enlistment Program