US Army Loan Repayment Program (LRP)

The Army's Loan Repayment Program (LRP) is a special enlistment incentive that the Army offers to highly qualified applicants at the time of enlistment. Under the LRP, the Army will repay up to $65,000 of a soldier's qualifying student loans. Eligibility criteria for this program consists of the following: * Individual must contract for the LRP as a non-prior service accession for a 3 or more year term of service into the active force * must disenroll from Montgomery GI Bill in writing, using DD Form 2366 * contract as a member in an officer candidate program or contract for a selected MOS * possess a loan that was made, insured, or guaranteed under the Higher Education Act of 1965, Title IV, Part B, D, or E prior to entering active duty have LRP guaranteed in writing in the enlistment contract (DA Form 3286-66) * have an Armed Forces Qualification Test score of 50, or higher on the ASVAB * enlist with a high school diploma * loan can’t be in default before entering active duty and during the repayment process
Loans that qualify for repayment * any loan made, insured, or guaranteed under part B of title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 et seq.); * any loan made under part D of such title (the William D. Ford Federal Direct Loan Program, 20 U.S.C. 1087a et seq.); * any loan made under part E of such title (20 U.S.C. 1087aa et seq.); or * any loan incurred for educational purposes made by a lender that is – * (i) an agency or instrumentality of a State; * (ii) a financial or credit institution (including an insurance company) that is subject to examination and supervision by an agency of the United States or any State; * (iii) from a pension fund or a non-profit private entity (subject to case-by-case review/approval by this office)