APPLICANT REQUESTS:  That his term of enlistment be changed from 6 to 4 years.

APPLICANT STATES:  That he was told by his recruiter that the loans his parents took out to pay for his education would be paid off under the Loan Repayment Program (LRP) enlistment educational incentive.  After he enlisted, he discovered that those loans were not payable under the LRP.  About the time he discovered that the loans were not payable, he failed the linguistic (Korean) portion of his military occupational specialty (MOS) of 98X1L, Electronic Warfare Signal Intelligence Linguist, requiring him to either be discharged or be reclassified into another MOS.  Although the possibility of being discharged was brought up, he could not seriously consider that option due to financial considerations, since he and his wife had both given up jobs in conjunction with his enlistment.  He was then offered a couple of MOSs which were not consistent with his desires.  When he refused those MOSs, he was offered another MOS within the intelligence field, MOS 98C, Electronic Warfare Signal Intelligence Analyst, but was told that he had to waive his LRP enlistment option to be sent for that training.  Since that offer was made by a command sergeant major, he felt intimidated into accepting.

EVIDENCE OF RECORD:  The applicant's military records show:

He enlisted in the USAR Delayed Entry Program on 27 January 1994.  At that time he completed a DA Form 3286-66, Statement of Understanding, United States Army Incentive Enlistment Program, in which he enlisted for the LRP.

The applicant enlisted in the Regular Army for 6 years in pay grade E-4 on 19 May 1994.

On the date the applicant submitted his application to the Board he was serving on active duty in pay grade E-4.

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, whichever is greater.

Title 10, U.S. Code, section 2171, limits loans that are eligible for repayment under the LRP to those made, insured, or guaranteed under the Higher Education Act of 1965.  To be eligible for benefits under this incentive, a soldier must serve a year on active duty in the MOS for which he was given the LRP.

In the processing of this case an advisory opinion was obtained from the Total Army Personnel Command (PERSCOM).  The PERSCOM stated that Public Law 99-145 limits loans that are eligible for repayment under the LRP to those made, insured, or guaranteed under the Higher Education Act of 1965.  Therefore, the applicant’s student loans (those made by his parents) are not payable because they were not insured under the Higher Education Act of 1965.

DISCUSSION:  Considering all the evidence, allegations, and information presented by the applicant, together with the evidence of record, applicable law and regulations, and advisory opinion, it is concluded:

1.  The loans the applicant’s parents made to finance his education are not payable under the LRP.

2.  However, this issue became moot when the applicant failed his training for the MOS for which he received the LRP.  That failure negated any entitlement he had to benefits under the LRP.

3.  Therefore, whether or not the applicant waived his LRP, or whether or not he was intimidated into waiving the LRP, are immaterial.  He had lost entitlement to those benefits before those events occurred.

4.  The applicant was given the option of being discharged when he failed his training.  Since he accepted retention on active duty and has now received training for another MOS, there is no reason to reduce his term of enlistment.

5.  In view of the foregoing, there is no basis for granting the applicant’s request.

DETERMINATION:  The applicant has failed to submit sufficient relevant evidence to demonstrate the existence of probable error or injustice.

BOARD VOTE:

                       GRANT          

                       GRANT FORMAL HEARING

                       DENY APPLICATION




						Karl F. Schneider
						Acting Director