| Mr. Carl W. S. Chun | Director | |
| Mr. Edmund P. Mercanti | Analyst |
| Mr. John N. Slone | Chairperson | |
| Mr. Donald P. Hupman | Member | |
| Mr. William D. Powers | Member |
APPLICANT REQUESTS: That his loans be paid under his Loan Repayment Program enlistment incentive.
APPLICANT STATES: In effect, that nobody told him his loans weren’t payable under the LRP. The deferment on his loans is now coming to an end and he is financially unprepared to make the payments.
In support of his request the applicant submits a letter from the Total Army Personnel Command informing him that his Alternative Loans do not qualify for payment under the LRP since they weren't made or insured under the Higher Education Act of 1965. The applicant also submits copies of his Alternative Loan promissory notes.
EVIDENCE OF RECORD: The applicant's military records show:
He enlisted in the Regular Army on 1 June 2001 for 4 years. In conjunction with his enlistment he executed addenda for the LRP and a $15,000.00 cash bonus. In the LRP addendum he acknowledged by his signature that he understood that only those loans that were made or insured under the Higher Education Act of 1965 would be paid under the LRP.
The LRP is an educational enlistment incentive which provides for payment of 33 1/3 percent or $1,500.00, whichever is greater, of the unpaid principal of eligible student loans for each year of active duty a soldier completes.
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.
DISCUSSION: Considering all the evidence, allegations, and information presented by the applicant, together with the evidence of record and applicable law and regulations, it is concluded:
1. The applicant’s Alternative Loans do not qualify for payment under the LRP since they weren't made or insured under the Higher Education Act of 1965.
2. While the applicant has stated that nobody told him his loans were not payable under the LRP, there is no indication that he ever asked anyone whether they were payable or not. Since the applicant acknowledged that he understood
that only loans made or insured under the Higher Education Act of 1965 would be payable under the LRP, 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
__jns____ ___wdp__ ___dph__ DENY APPLICATION
| CASE ID | AR2002073843 |
| SUFFIX | |
| RECON | YYYYMMDD |
| DATE BOARDED | 20020912 |
| TYPE OF DISCHARGE | (HD, GD, UOTHC, UD, BCD, DD, UNCHAR) |
| DATE OF DISCHARGE | YYYYMMDD |
| DISCHARGE AUTHORITY | AR . . . . . |
| DISCHARGE REASON | |
| BOARD DECISION | DENY |
| REVIEW AUTHORITY | |
| ISSUES 1. | 128.00 |
| 2. | |
| 3. | |
| 4. | |
| 5. | |
| 6. |
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