Ibrahim Gardner
The National Guard offers a Student Loan Repayment Program (SLRP) to help service members pay off their student loans. The program is available to those who have federal loans that were taken out prior to joining the National Guard. Under the SLRP, the National Guard will repay a portion of an individual's qualifying student loans, with the amount being $7500 or 15% of the balance every year for a maximum of $50,000 over a 6-year contract. To be eligible for the SLRP, individuals must meet certain requirements, including having their Loan Repayment Program guaranteed in writing in their enlistment contract and declining enrollment in the Montgomery GI Bill.
Does the National Guard pay for student loans before I join?
| Characteristics | Values |
|---|---|
| Loan Repayment Program (LRP) | A special incentive offered to highly qualified applicants entering the Army. |
| Eligibility | Initial-term non prior-service Army National Guard Soldiers on federal active duty are eligible for the LRP if they meet certain conditions. |
| Conditions | Loan Repayment Program must be guaranteed in writing in the enlistment contract; Soldier must decline enrollment in the Montgomery GI Bill; Soldier must have a high school diploma and a score of 50 or higher on the Armed Forces Qualification Test (AFQT); Soldier must enlist in a critical Military Occupational Specialty (MOS) that qualifies for the program in the pay grade of E-4 or below. |
| Prior-service Soldiers | Eligible for LRP with a six-year term of service at a pay grade of E-7 or below into a qualifying position in an MTOE or medical TDA unit only. |
| Basic Combat Training (BCT) | Must be completed prior to enlisting in the National Guard, with some exceptions for Service members from special operations units. |
| Time-in-service | Must have less than 16 years of time-in-service upon enlistment/affiliation in the National Guard. |
| Duty Military Occupational Specialty (MOSQ) | Soldier must be qualified for their position. |
| Repayment amount | The Army will repay 15% of the outstanding principal balance or $1,500 (whichever is greater) annually, up to $20,000. |
| Tax implications | Payments made under LRP are considered taxable income, and there is no reimbursement for loan payments already made. |
| Eligibility maintenance | Soldiers must remain qualified in their original MOS throughout their initial term of service to maintain LRP eligibility. Early separation may result in loss of eligibility, with some exceptions for physical disability, hardship, or certain convenience of the government discharges. |
| Student Loan Repayment Program (SLRP) | A similar program mentioned in some sources, with a maximum repayment of up to $50,000 over a six-year contract. |
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What You'll Learn
Student Loan Repayment Program (SLRP)
The Student Loan Repayment Program (SLRP) is a valuable incentive for those serving in the National Guard. The program offers relief for federal loans acquired before joining the National Guard. It is important to note that only full-time service in the National Guard or Reserve counts towards eligibility for Public Service Loan Forgiveness.
Initial-term non-prior service members of the Army National Guard on federal active duty may be eligible for the Loan Repayment Program (LRP) if they meet certain conditions. One crucial requirement is enlisting in a critical Military Occupational Specialty (MOS) in the pay grade of E-4 or below. These MOSs are subject to change based on the current needs of the service, so it is advisable to consult local Army recruiters for the most up-to-date information.
Prior-service soldiers enlisting in the National Guard may also be eligible for the LRP as a stand-alone incentive. To qualify, they must meet specific criteria, including completing Army or Marine Corps Basic Combat Training (BCT) prior to enlisting in the National Guard. Additionally, they should have less than 16 years of time-in-service upon enlistment.
Under the LRP, the Army will repay a portion of the soldier's qualifying student loans. The repayment amount is calculated as 15% of the outstanding principal balance, less taxes, or $1,500, whichever is greater, after each year of service. This repayment is capped at $20,000, excluding taxes.
To benefit from the SLRP, individuals must commit to serving with the Department for at least three years through a service agreement. This agreement ensures that employees maintain satisfactory conduct and performance and make regular payments on their federally insured student loans.
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Loan Repayment Program (LRP)
The Loan Repayment Program (LRP) is a special incentive offered by the Army to highly qualified applicants entering the Army. Under the LRP, the Army will repay part of a Soldier's qualifying student loans. Only specified Military Occupational Specialties (MOSs) qualify for the LRP. Initial-term non prior-service Army National Guard Soldiers on federal active duty are eligible for the Loan Repayment Program if they meet certain conditions.
Prior-service soldiers enlisting in the National Guard are eligible for the LRP as a stand-alone incentive, provided certain requirements are met. The enlistment period must be a six-year term of service at a pay grade of E-7 or below into a qualifying position in an MTOE or medical TDA unit only. Army or Marine Corps Basic Combat Training (BCT) must have been previously completed, or if the enlistee is prior-service Air Force, Navy, or Coast Guard, Army BCT must be completed within 365 days from the date of enlistment.
To be eligible for the LRP, soldiers must have less than 16 years of time-in-service upon enlistment/affiliation in the National Guard. They must be Duty Military Occupational Specialty qualified (MOSQ) for their position and enlist in one of the critical MOSs that qualify for the program in the pay grade of E-4 or below. Soldiers must also have their loans made, insured, or guaranteed prior to entry on active duty.
Under the LRP, the Army will repay 15% of the outstanding principal balance, less taxes of the Soldier's student loans annually, or $1,500, whichever is greater, after each year of service (up to $20,000, less taxes). Payments made under the LRP are considered taxable income in the year(s) they are made. There is no reimbursement available for any loan payments already paid, and the Army will not pay off loans that are in default.
To maintain eligibility for the Loan Repayment Program, Soldiers must remain qualified in their original MOS throughout their initial term of service. If an LRP participant does not fulfill their obligated term of service by separating from the service early, they will lose their eligibility for LRP. However, there are some exceptions to this early separation rule. For example, individuals who separate early after completing at least one year on active duty may be eligible for prorated LRP payments if the reason for separation was physical disability, hardship, or certain convenience of the government discharges.
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Qualifying for SLRP
The National Guard offers the Student Loan Repayment Program (SLRP) to soldiers and officer candidates (09S) who have one or more qualifying and disbursed Title IV federal loans. These loans must be listed on the Department of Education National Student Loan Data System (NSLDS) aid summary website. Federal Parent Loans for Undergraduate Students (PLUS) are not eligible for repayment under the SLRP.
To qualify for SLRP, you must meet the following criteria:
- Have one or more qualifying and disbursed Title IV federal loan(s) not in default at the time of enlistment or re-enlistment/extension.
- Loans must be at least one year old on the anniversary date of the contract for payment.
- Must enlist for a minimum six-year term of service.
- Enlist/affiliate in the grade of E-7 or below.
- Must have previously completed Army or Marine Corps Basic Combat Training (BCT) or complete Army BCT within 365 days from the date of enlistment if you previously served in the Air Force, Navy, or Coast Guard.
- Must be Duty Military Occupational Specialty Qualified (DMOSQ) for your position.
- Must have less than 13 years of time-in-service upon enlistment/affiliation in the National Guard.
- Must not have previously received the SLRP in your military career.
- Must not be in Mil-Tech status.
It is important to note that SLRP payments are made directly to the financial institution, and any break in service will permanently terminate SLRP eligibility. Additionally, the Army will only repay the remaining original unpaid principal, less taxes on qualifying loans, and payments made under the SLRP are considered taxable income.
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LRP conditions
The Loan Repayment Program (LRP) is a special incentive offered by the Army to highly qualified applicants entering the Army. Under the LRP, the Army will repay part of a Soldier's qualifying student loans. However, there are several conditions that must be met to be eligible for the program.
Firstly, only specified Military Occupational Specialties (MOSs) qualify for the LRP. Initial-term non prior-service Army National Guard Soldiers on federal active duty are eligible if they have the Loan Repayment Program guaranteed in writing in their enlistment contract. They must also decline enrollment in the Montgomery GI Bill and have a high school diploma with a score of at least 50 on the Armed Forces Qualification Test (AFQT). Additionally, they must enlist in one of the critical MOSs that qualify for the program at the pay grade of E-4 or below.
For prior-service Soldiers enlisting in the National Guard, the LRP is offered as a stand-alone incentive with certain requirements. The enlistment period must be a six-year term of service at the pay grade of E-7 or below into a qualifying position in an MTOE or medical TDA unit. Army or Marine Corps Basic Combat Training (BCT) must have been previously completed, with exceptions for Service members from Air Force or Navy special operations units. These Soldiers must also have less than 16 years of time-in-service upon enlistment and be Duty Military Occupational Specialty qualified (MOSQ) for their position.
It is important to note that current full-time National Guard Service members on AGR or Mil-Tech status are not eligible to use the LRP option for re-enlistment. To maintain eligibility, Soldiers must remain qualified in their original MOS throughout their initial term of service. If a Soldier separates from service early, they may lose their eligibility for LRP, although there are exceptions for separations due to physical disability, hardship, or certain government discharges.
The Army will repay 15% of the outstanding principal balance, less taxes, of the Soldier's student loans annually or $1,500, whichever is greater, after each year of service up to a maximum of $20,000. Payments are made directly to the lender, and the first payment is typically made after the member has completed one year of service. It is important to note that interest will not be repaid, and loans must be made, insured, or guaranteed prior to entry on active duty. Additionally, payments made under the LRP are considered taxable income.
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SLRP payments
The National Guard offers a Student Loan Repayment Program (SLRP) to current and potential soldiers. The SLRP is a special incentive offered to highly qualified applicants entering the Army. The Army will repay part of a soldier's qualifying student loans under the SLRP. However, it is important to note that only specified Military Occupational Specialties (MOSs) qualify for the SLRP.
To be eligible for the SLRP, soldiers must meet certain requirements. For instance, they must have one or more qualifying and disbursed Title IV federal loans that are not in default at the time of enlistment or re-enlistment/extension. Additionally, soldiers must have less than 16 years of time-in-service upon enlistment/affiliation in the National Guard and must be Duty Military Occupational Specialty Qualified (DMOSQ) for their position.
Prior-service soldiers enlisting in the National Guard are eligible for the SLRP as a stand-alone incentive, provided they meet certain requirements. These requirements include enlisting for a minimum six-year term of service and enlisting in the grade of E-7 or below. Soldiers must also have previously completed Army or Marine Corps Basic Combat Training (BCT) or complete Army BCT within 365 days from the date of enlistment if they previously served in the Air Force, Navy, or Coast Guard.
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Frequently asked questions
No, the National Guard does not pay for student loans before you join. The Loan Repayment Program (LRP) is only applicable to federal loans taken before enlistment.
The Army will repay 15% of the outstanding principal balance or $1,000 per loan, whichever is greater, up to a maximum of $8,333.33 per year. Over a six-year contract, you can receive a maximum of $45,000 or 90% of your loan balance.
To qualify for the LRP, you must meet specific requirements, including having LRP guaranteed in writing in your enlistment contract, declining enrolment in the Montgomery GI Bill, possessing a high school diploma and a minimum score on the Armed Forces Qualification Test (AFQT), and enlisting in a critical Military Occupational Specialty (MOS) at a pay grade of E-4 or below.
