IN THE CASE OF: BOARD DATE: 25 June 2013 DOCKET NUMBER: AR20120020174 THE BOARD CONSIDERED THE FOLLOWING EVIDENCE: 1. Application for correction of military records (with supporting documents provided, if any). 2. Military Personnel Records and advisory opinions (if any). THE APPLICANT'S REQUEST, STATEMENT, AND EVIDENCE: 1. The applicant requests relief from her student loan debt incurred prior to her separation from the Army. 2. The applicant states: * she has incurred over $100,000 in student loan debt which includes a $20,000 penalty for a loan default * her student loan debt would have been paid at this point had she remained in the military * her debt has been in deferment since 2003 * she incurred a $20,000 penalty because the bank stated they could not locate her * she had a checking account with the bank and had contacted them in reference to her student loan 3. The applicant provides: * DA Form 3286-67 (Statement of Understanding – Army Policy), dated 10 May 2000 * U.S. Army Recruiting Command Form 1127-R-E (Supplement to DA Form 3288-67, Statement for Enlistment (or Appointment)), dated 10 May 2000 * Information Paper on Military Deferment of Student Loans, dated 20 March 2012 * letter, Nelnet Education Planning and Financial, dated 15 October 2012 * DD Form 2366 (Montgomery GI Bill Act of 1984 (MGIB)), dated 19 May 2000 * Orders Number D266-02, U.S. Army Physical Disability Agency, Washington, District of Columbia (D.C.), dated 22 September 2008 * memorandum, U.S. Army Physical Disability Agency, dated 22 September 2008 * DA Form 199 (Physical Evaluation Board (PEB) Proceedings), dated 22 September 2008 * DD Form 214 (Certificate of Release or Discharge from Active Duty) CONSIDERATION OF EVIDENCE: 1. Title 10, U.S. Code, section 1552(b), provides that applications for correction of military records must be filed within 3 years after discovery of the alleged error or injustice. This provision of law also allows the Army Board for Correction of Military Records (ABCMR) to excuse an applicant's failure to timely file within the 3-year statute of limitations if the ABCMR determines it would be in the interest of justice to do so. While it appears the applicant did not file within the time frame provided in the statute of limitations, the ABCMR has elected to conduct a substantive review of this case and, only to the extent relief, if any, is granted, has determined it is in the interest of justice to excuse the applicant's failure to timely file. In all other respects, there are insufficient bases to waive the statute of limitations for timely filing. 2. Records show the applicant enlisted in the U.S. Navy on 12 August 1985 and she was honorably discharged on 11 August 1990. Her DD Form 214 for this period of service shows she completed 5 years of creditable active military service. 3. After having had prior enlisted service in the U.S. Navy, the applicant enlisted in the Regular Army on 17 May 2000 for a 4-year period. She completed training and was awarded military occupational specialty (MOS) 56M (Chaplain Assistant). 4. Item 5 (Educational Incentive Programs) of the applicant's DA Form 3286-67 shows the entry "NA" in the "Yes" column and her initials in the "No" column for the MGIB, Army College Fund (ACF), and Loan Repayment Program (LRP). 5. The applicant's DD Form 2366, dated 19 May 2000, shows she signed the form acknowledging she was not eligible for the MGIB because her current enlistment was not her initial entry on active duty. 6. Records show the applicant was placed on the Temporary Disability Retired List (TDRL) on 16 May 2003. 7. On 28 August 2008, the applicant underwent a TDRL re-evaluation by a PEB in Washington, D.C. Her DA Form 199, dated 22 September 2008, shows the PEB found her condition sufficiently stabilized for rating purposes and recommended a permanent retirement with a 30 percent disability rating. 8. On 18 September 2008, after being advised of the PEB findings and recommendation, the applicant concurred with the PEB findings and recommendation. 9. On 22 September 2008, the designee for the Secretary of the Army approved the PEB findings and recommendation. 10. Orders Number D266-02, dated 22 September 2008, show the applicant was removed from the TDRL effective 15 May 2008 and permanently retired due to a permanent physical disability. She received a 30 percent disability rating. 11. During the processing of this case, on 30 January 2013, an advisory opinion was obtained from the Chief, Incentives and Budget Branch, Enlisted Accessions Division, Office of the Deputy Chief of Staff, G-1, Washington, D.C. The advisory official recommended denial of the applicant's request and stated: a.  The LRP option is only open to non-prior service recruits and only applies to loans incurred prior to entering on active duty. b.  A review of the applicant's enlistment contract reveals that she did not have the LRP option on her contract, which is accurate since she was not eligible to receive loan repayment as an enlistment option. c.  The Army has no in-service student LRP for enlisted Soldiers. 12. On 1 February 2013, a copy of the advisory opinion was provided to the applicant for information and to allow her the opportunity to submit comments for a rebuttal. She did not respond within the required time. 13. The applicant provides enlistment and medical record extracts. She also provides an Information Paper on Military Deferment of Student Loans. The paper was authored by the Education Incentives Branch Chief, U.S. Army Human Resources Command and outlines information pertaining to the laws and policy related to military deferment/ forbearance of student loans for Soldiers in the LRP. 14. Additionally, the applicant provides an account summary of her Department of Education Loan Summary, dated 15 October 2012. The summary shows she has a total balance of $101,887.78. 15. Her records are void of an LRP Addendum authorizing her entitlement. Further, none of her enlistment documents (to include her DD Form 1966, Record of Military Processing – Armed Forces of the United States) identified her student loans. 16. The Loan Repayment Program is a Department of the Army enlistment option authorized by Public Law 99-145. Before entering active duty, the loan must not be in default. The borrower is responsible for obtaining a deferment/forbearance with the loan holder and the loan must remain in good standing throughout the repayment process. Active Army LRP participants earn their first loan repayment after completion of a full year of active duty and for each full year thereafter, up to 3 years. Payment of 33 1/3 percent or $1,500, whichever is greater, is authorized annually to the loan holder on the total remaining original outstanding principal balance. 17. Army Regulation 601-210 (Regular Army and Army Reserve Enlistment Program) prescribes eligibility criteria governing the enlistment of persons, with or without prior service, into the Regular Army and the U.S. Army Reserve. Chapter 9 (Enlistment Programs/Options) stated that these programs/options are designed to merge valid Army requirements with personal desires. DISCUSSION AND CONCLUSIONS: 1. The applicant's request for relief from her student loan debt was carefully considered. 2. The applicant served in the U.S. Navy for 5 years prior to enlisting in the Regular Army. Further, her records are void of an LRP Addendum. 3. Based on the foregoing, the applicant was ineligible for entitlement to the LRP. Therefore, there is no basis for granting the requested relief. BOARD VOTE: ________ ________ ________ GRANT FULL RELIEF ________ ________ ________ GRANT PARTIAL RELIEF ________ ________ ________ GRANT FORMAL HEARING ____x___ ___x____ ____x____ DENY APPLICATION BOARD DETERMINATION/RECOMMENDATION: The evidence presented does not demonstrate the existence of a probable error or injustice. Therefore, the Board determined that the overall merits of this case are insufficient as a basis for correction of the records of the individual concerned. ____________x_____________ CHAIRPERSON I certify that herein is recorded the true and complete record of the proceedings of the Army Board for Correction of Military Records in this case. ABCMR Record of Proceedings (cont) AR20120020174 3 ARMY BOARD FOR CORRECTION OF MILITARY RECORDS RECORD OF PROCEEDINGS 1 ABCMR Record of Proceedings (cont) AR20120020174 2 ARMY BOARD FOR CORRECTION OF MILITARY RECORDS RECORD OF PROCEEDINGS 1