2.  The applicant requests that he be given the Loan Repayment Program (LRP) educational enlistment incentive in lieu of the Montgomery G.I. Bill (MGIB).

3.  The applicant states, in effect, that there was no reason for him to chose the MGIB instead of the LRP, that such a selection would not make any sense when he had already received a bachelors degree in college and had $10,000.00 in college loans to pay off when he enlisted.

4.  In support of his application he submits copies of his student loans totaling approximately $10,000.00.

5.  The applicant's military records show that he enlisted in the Regular Army for 6 years on 18 June 1993.  In conjunction with his enlistment he completed a DA Form 
3286-67, Statement of Understanding, Army Policy, in which it is stated in item 5, “I have enlisted for the following Educational Incentive Programs (initial under the appropriate column for each program).”  That form provides yes and no spaces for the enlistee to initial if the MGIB, the Army College Fund (ACF), or the LRP was chosen in conjunction with the enlistment.  The applicant initialed affirmatively in the block for the MGIB and negatively in the blocks for the ACF and the LRP.

6.  Subsequent to the applicant’s enlistment, a legal assistance attorney submitted a request to the reception battalion which processed the applicant upon his entry on active duty to investigate why the applicant’s educational enlistment incentive had not been changed from the MGIB to the LRP as he had requested when he was being processed into the Regular Army.  The reception battalion responded to that request stating that there was no record of the applicant attempting to change his MGIB to the LRP but, since the applicant’s MOS was eligible for the LRP, recommended that if his student loans were not in default, that he be disenrolled from the MGIB and given the LRP.

7.  The MGIB, as outlined in title 38, United States Code, chapter 30, section l411(b), provides for soldiers who entered the service after 30 June l985, to be automatically enrolled into the MGIB and to contribute $l,200.00 during their first l2 months service, which is non-refundable.  After completion of their service obligation, he or she is entitled to receive up to $300.00 per month educational benefits for 36 months.  The program is administered by the VA.

8.  The LRP is an educational enlistment incentive which provides for payment of 33 1/3 percent or $1,500.00 of the unpaid principal of eligible student loans for each year of active duty a soldier completes.  When a soldier enlists for this option, he must disenroll from the MGIB.

CONCLUSIONS:

1.  Although the applicant was eligible for the LRP, he did not elect that option.

2.  It is inconceivable that the applicant, who had existing student loans incurred in conjunction with his college degree, would opt for the MGIB in favor of the LRP.

3.  For whatever reason, the applicant elected the MGIB instead of the LRP, contrary to that which was in his best interest.  That error is now costing him benefits for which he was entitled to and would have received had he properly understood the two educational incentives.

4.  If relief is granted in this case, by necessity his records would also have to be corrected to show that he was disenrolled from the MGIB when he enlisted.  As such, it would be appropriate to refund to him the $1,200.00 he contributed to the MGIB.

5.  In view of the foregoing, it is in the interest of justice to correct the applicant’s records as recommended below.

RECOMMENDATION:

That all of the Department of the Army records related to this case be corrected:

	a.  by showing that the individual concerned was given the LRP option when he enlisted in the Regular Army on 18 June 1993; 

	b.  by showing that he disenrolled from the MGIB; and

	c.  by refunding to him the $1,200.00 he contributed to the MGIB.

BOARD VOTE:  

                       GRANT AS STATED IN RECOMMENDATION

                       GRANT FORMAL HEARING

                       DENY APPLICATION




		                           
							CHAIRPERSON