Student Loan Repayment Program (SLRP)IF YOU ARE A TROOP PROGRAM UNIT (TPU) SOLDIER: Application for SLRP can now be completed on- line via the Web- Enabled Education Benefit System (WEBS). Tamara Lovejoy at: tamara. The Student Loan Repayment Program (SLRP) is governed by Army Regulation AR 1. Chapter 5. 1. The following are frequently asked questions concerning SLRP. Note: Additional links to forms and regulations are included within the information. Some of these forms are in . PDF format (get .
PDF viewer)`What is the Student Loan Repayment Program ( SLRP)? SLRP is a Selected Reserve (SELRES) incentive program that helps you pay off your student loans. Having SLRP as part of your contract enables the Army Reserve to help you repay your student loan(s) while successfully participating as a SELRES member.
If you meet the eligibility requirements, you must select SLRP at the time you sign your contract and execute SLRP Addendum (DA Form 5. R) at that time. Without the addendum, you don't have SLRP. Who is eligible for SLRP?
Information on enlistment and reenlistment criteria can be found in AR 6. AR 1. 40- 1. 11 . A SELRES enlisted soldier who is satisfactorily serving and accepts an appointment or commission as an officer in the Selected Reserve after 2. October 2. 00. 4, may continue to receive SLRP payments as stipulated in the original contract, so long as they remain otherwise qualified (Reference: Ronald Reagan National Defense Authorization Act Fiscal Year 2. Memorandum, Assistant Secretary of Defense, Reserve Affairs, OSD- RA, 1.
December 2. 00. 4, SUBJECT: Enhancements to the Reserve Component Incentive Programs.) Effective 1 June 2. Reserve Component Soldiers serving in Afghanistan, Iraq, or Kuwait in support of Operation Enduring Freedom (OEF) or Operation Iraqi Freedom (OIF) will be permitted, as an exception to policy to paragraph 5. AR 1. 35- 7, to reenlist for SLRP regardless of their Military Occupational Specialty (MOS). Complete a DA Form 5.
R, SLRP Addendum, when you sign your enlistment/reenlistment contract. Enlist or reenlist in the SELRES in a bonus unit or critical Military Occupational Skill (MOS). Be a secondary school graduate (para 1- 7. AR 1. 35- 7). Not be contracting to qualify for a permanent civilian position where membership in the Reserve is a condition of employment. You must submit the paperwork each year so that a payment will be made.
Keep in close contact with your unit administrator. Annual Application For Loan Repayment (DD Form 2. This form must be completed by you, your unit administrator, and your loan holder. You must complete a DD Form 2. A loan disclosure statement or repayment schedule is not acceptable in lieu of the promissory note. If you do not have a copy of your note, ask your lender for a copy.
The Student Loans Company (SLC) is a UK public sector organisation providing loans and grants to over one. Student Loan Repayment Program for. DoD Student Loan Repayment policy apply to.
Lenders are usually willing to cooperate if they know this will help get the loan repaid quickly. If the MOS is not stated, include documentation of the MOS at the time you executed the addendum. This will show that you selected SLRP and are eligible to participate in the program. Submission of all paperwork by your unit should be submitted to Ft. Mc. Coy SLRP Team on or after your anniversary date (contract date). The total amount of money available to you under SLRP depends on your MOS.
Most MOSs qualify for $1. However, there are some critical MOSs that qualify for $2. You should know whether your MOS qualifies for the $1.
Your SLRP amount (either $1. Army Reserve. It does not necessarily mean that you will receive the whole amount during this one contract.
Nor does it mean that you will never have to make any payments on your student loans. The amount you actually receive depends on how many student loans you have and how old they are.
Reminder : If you change your MOS or transfer out of a bonus unit, your SLRP incentive could be terminated (unless for normal career progression within your Career Management Field (CMF) or for the convenience of the government). Is entitlement disbursed all at once? The SLRP amount is not disbursed in one payment. Each year 1. 5 percent of the original amounts of the soldier's loan(s) plus interest may be repaid.
The amount of the SLRP (level) determines the maximum. See the example below. SLRP Level Maximum Annual Payment Minimum Annual Payment $1. The actual annual payment depends on the total amount of the soldier's loan(s) and/or remaining principal balance. The only time a SLRP payment would be less than the established annual minimum would be if the soldier's principal/outstanding balance amount were less than $5. See examples below: Example 1: A soldier contracted for $1. SLRP. His total amount of loans is $1.
SLRP benefit of $1. Fifteen percent of $1.
This exceeds the maximum annual payment. Only $1. 50. 0 would be paid towards his loans. This covers principal and interest. Example 2: A soldier contracted for $2.
SLRP. The total amount of her loan is $3,0. DD Form 2. 47. 5 had $2. Fifteen percent of $3.
Adding the interest ($2. This amount is less the minimum annual payment. She would receive the minimum payment of $5. This covers principal and interest.
Example 3: A soldier contracted for $2. SLRP. The total amount of loans is $1. DD Form 2. 47. 5 had $9. Even though 1. 5% of the principal ($2. This covers principal and interest. Example 4: A soldier has a remaining principal balance of $2. The payment would be for $2.
It is the soldier's responsibility to work with his/her loan holder and convince them to accept one SLRP payment per year. If the loan holder still wants additional payments, it is suggested the soldier only make minimum payments. The Army will not reimburse any payments made by the soldier. When are SLRP payments made? SLRP payments are made each year on or after your anniversary date (one year after you signed the SLRP addendum that accompanies your contract). Annual payments will only be made on those loans that you have secured for at least one year prior to your anniversary date. The Army Reserve makes payments based on your SELRES status as a Reserve Soldier and will make a payment for each year of satisfactory service that you complete.
Do not wait until you graduate to submit your loans for repayment. However, if you do wait until you graduate to submit your loans and you have been eligible for SLRP for the four years you were in school, the Army Reserve will make the back payments to your lending institutions on your behalf. In other words, four payments will be made at once. However, it is best to submit once a year for payments and avoid this situation as well as a large tax bill. SLRP payments are made directly to the bank or loan holder.
Payments are not made to you. Any money you pay towards your student loans will not be repaid to you.
It is in your interest to work with your loan holder. If possible, get the loan holder to accept one principal payment per year. If your loan holder still wants payments from you, try to make the minimum payment that the loan holder will accept. It is important to note that SLRP payments are taxable income. The money paid on your student loans will be reported to the Internal Revenue Service as part of your Reserve income. This is another reason to submit yearly for SLRP payments as yearly payments have a much smaller impact on your taxable income.
Can I stop making loan payments? Request, in writing, that your lender use the Army Reserve payment to replace your monthly student loan payment. Lenders usually call this .
If you do not request replacement of student loan payment, your lender, as required by the Department of Education, applies the Army payment as one payment and you will then have to continue your monthly payments. If the Army's payment does not cover the cost of entire year, you can: Make the remaining payments Request forbearance until the Army makes another payment IIn the example, the Army's payment covers 1. To cover the amount owed for the year, you could make two payments or request forbearance for six months until the Army makes another payment.
What are my responsibilities? Soldier responsibilities include: Soldiers should complete DD Form 2. ONLINE at least 3 months prior to SLRP anniversary date. This will allow the lending institution time to complete Section 4 and return of the form(s) before the SLRP anniversary (contract) date. Keep copies of all promissory notes, even when consolidating loans. Keep copies of all correspondence received from the lender (financial institution).
Do not ignore letters or phone calls from your lender/creditor; respond promptly. Request a deferment or forbearance, whichever is appropriate. Even though Troop Program Unit (TPU) Soldiers can now process SLRP on- line, this does NOT relieve the unit's HR personnel from providing assistance to Soldiers. Unit personnel will continue to maintain an active role in the SLRP process. This includes, but is not limited to, keeping up to date on SLRP guidance from the Chain of Command, understanding how the on- line SLRP process works, assisting Soldiers if they have difficulty with the on- line system, and assisting with issues concerning USARC USAR Pay Center, Fort Mc. Coy. NOTE: Former TPU Soldiers who have recently transferred to the Individual Ready Reserve (IRR) or who have recently been discharged, can still be assisted by their former TPU Chain of Command with getting their loans repaid under the SLRP program using the following guidance: Remind soldiers to complete their DD 2.
Upon completion of the DD 2. SLRP packet should be forwarded to the SLRP team at Ft. Mc. Coy SLRP team will process your SLRP payment through the pay system that will create a remark to appear on your Leave and Earning Statement (LES). This transaction will also identify the loan agency and money amount paid. If more than one agency is involved, a separate remark will be annotated. This remark will also include the entitlement year or years the payment covers.
The actual payment of your SLRP is forwarded to the loan agency annotated on the DD Form 2.