MEMORANDUM OF CONSIDERATION

	IN THE CASE OF:       

	BOARD DATE:            07 AUGUST 2003                  
	DOCKET NUMBER:   AR2003085332

	I certify that hereinafter is recorded the record of consideration of the Army Board for Correction of Military Records in the case of the above-named individual.

	Mr. Carl W. S. Chun		Director	
	Mr. Kenneth H. Aucock		Analyst	

  The following members, a quorum, were present:

	Mr. Arthur A. Omartian		Chairperson	
	Mr. Thomas B. Redfern III		Member	
	Ms. Mae M. Bullock		Member	

	The Board, established pursuant to authority contained in 10 U.S.C. 1552, convened at the call of the Chairperson on the above date.  In accordance with Army Regulation 15-185, the application and the available military records pertinent to the corrective action requested were reviewed to determine whether to authorize a formal hearing, recommend that the records be corrected without a formal hearing, or to deny the application without a formal hearing if it is determined that insufficient relevant evidence has been presented to demonstrate the existence of probable material error or injustice.

	The applicant requests correction of military records as stated in the application to the Board and as restated herein.

	The Board considered the following evidence:

	Exhibit A - Application for correction of military 
                records
	Exhibit B - Military Personnel Records (including
	            advisory opinion, if any)

APPLICANT REQUESTS:  That the Army pay his student loan.  

APPLICANT STATES:  That he enlisted in the Army with the understanding that his student loans would be paid under the provisions of the college loan repayment program (LRP).  Both his recruiter and personnel at the Military Entrance Processing Station (MEPS) confirmed that his loans would be paid.  Copies were made of all his student loan promissory notes and included with his packet before he departed the MEPS.  Had he known that only his William D. Ford Federal Direct Loans were going to be paid, and that he would have to pay his Iowa Partnership Loan, he would have opted to enroll in the Montgomery GI Bill.  He implies that the recruiter deliberately misled him in order to procure his enlistment.  The information that he received that his student loans would be paid was the major factor in his decision to enlist in the Army.  Had he known the truth, he would have opted for the Montgomery GI Bill, which he could use when he enters law school.  He requests that his Iowa Partnership Loan be paid.  He encloses his enlistment contract, his application for the college loan repayment program, and his promissory note for the Iowa Partnership Loan.

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

The applicant enlisted in the Delayed Entry Program (DEP) for 8 years on         28 June 1999.  He was discharged from that program upon his enlistment in the Regular Army for 4 years on 25 August 1999.  His Record of Military Processing (DD Form 1966/1) shows that he enlisted for the Loan Repayment Program (Code B, in position 1 of items 17e and 18k of that form).

Item 32a, Specific Option/Program Enlisted For (Completed by Guidance Counselor, MEPS Liaison NCO, etc., as specified by sponsoring service) of the applicant's DD Form 1966/3 shows that, among other programs, he also enlisted for the Student Loan Repayment Program.

USAREC (United States Army Recruiting Command) Form 1150-R-E, Addendum to DD Form 1966 Series, shows that he enlisted for the LRP incentive.  He placed his initials by the block, "I understand that under the Army's Student Loan Repayment Program, the Army will not repay student loans in excess of $65,000 regardless of the amount of my student loans. … I understand that I must bring copies of ALL my student-loan promissory notes when I report to the MEPS for my active duty ship date."  He and his guidance counselor both signed the form on 28 June 1999. 

DA Form 3286-59 (Statement for Enlistment) also shows that he enlisted for the loan repayment program.

The applicant and his guidance counselor, on 28 June 1999, both signed a form, DA Form 3286-7, in which the applicant indicated by his initials in the appropriate spaces, that he did not enlist for the MGIB program and the Army College Fund program, but that he did enlist for the LRP.

The applicant completed another form (DA Form 3286-66) in which he stated that he acknowledged and understood that he was enlisted for the Loan Repayment Program.  That form contained a number of statements, to include, "If the incentive … is for the … LOAN REPAYMENT PROGRAM (LRP), I understand that I must DISENROLL from the GI Bill in order to qualify for the program.…If I fail to complete the disenrollment portion of the DD Form 2366,      
I will not be eligible for the LRP and will become automatically enrolled in the    GI Bill," and, "I understand that under the program (LRP) that the government will repay a designated portion of any loan I incurred that was made, insured or guaranteed, under Part B of the Higher Education Act of 1975 (Guaranteed Student Loan) or any loan under Part E of such act … after1 October 1975 and before I enlist into the Regular Army."  He and his guidance counselor signed that form.

On 28 June 1999 the applicant completed DD Form 2366, stating that he did not desire to participate in the MGIB.  Both he and his guidance counselor signed that form.  

Submitted with his request is a copy of an Iowa Partnership Loan Program Interim Disclosure Statement, dated 18 August 1997, showing a financed loan of $4,950.00.

On 28 May 2002 the Total Army Personnel Command (PERSCOM) informed the applicant that his loan did not qualify for repayment under the LRP, in that it was an alternative loan, which was not made, insured or guaranteed under Title IV, Part B, D, or E of the Higher Education Act.  That command also informed him that loans eligible for repayment had to be made, insured or guaranteed prior to entry on active duty, and that payment toward loans that did not qualify under the LRP would be in violation of the law governing the program There were no exceptions to the law.  A copy of his attached DD Form 2475 (DOD Educational Loan Repayment Program (LRP) Annual Application), shows that the applicant's loan was an Iowa Student Loan, alternative loan, and was not eligible for the loan repayment program.

The LRP is an educational enlistment incentive, which provides for payment of a percentage of the unpaid principal of eligible student loans for each year of active duty a soldier completes.  Title 10, United States 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.

The MGIB, as outlined in Title 38, United States Code, chapter 30, section 1411(b), provides for soldiers who entered the service after 30 June l985, to be automatically enrolled into the MGIB and to contribute $1,200.00 during their first 12 months service, which is nonrefundable.  After completion of their service obligation, he or she is entitled to receive up to $300.00 per month educational benefits for 36 months.  The program is administered by the Department of Veterans Affairs (VA).

Army Regulation 601-210, chapter 6, specifies what forms are to be completed when a person enlists in the Army.  Those forms include the DA Form 3286 and the DA Form 1966 which show which options have been selected by the person enlisting.  Only the options selected on that form are considered valid and will be honored by the Government.

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

1.  Although the Board does acknowledge that the applicant’s enlistment contract indicates that his enlistment incentives included the LRP incentive, the applicant failed to acknowledge that his enlistment contract further clarified the provisions under which a student loan could be repaid.  The Board notes that the applicant authenticated that portion of his enlistment contract by his signature on the        DA Form 3286-66.  The Board also notes that the applicant acknowledges that his William D. Ford Federal Direct Loans will be paid.   

2.  While it is unfortunate that the applicant may not have understood that his  Iowa Partnership Loan, an alternative loan, was not payable under the LRP, there is no evidence of recruiter malfeasance, as the applicant has implied.  Nor is there any evidence of any error or injustice.  Consequently, his request that this loan be repaid is not granted.

3.  The applicant has submitted neither probative evidence nor a convincing argument in support of his request.   

4.  In order to justify correction of a military record the applicant must show to the satisfaction of the Board, or it must otherwise satisfactorily appear, that the record is in error or unjust.  The applicant has failed to submit evidence that would satisfy that requirement.

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

__AAO __  __TBR __  __MMB__  DENY APPLICATION

		    Carl W. S. Chun
		    Director, Army Board for Correction
    of Military Records

INDEX

CASE ID	AR2003085332	
SUFFIX		
RECON	YYYYMMDD	
DATE BOARDED	20030807	
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.	103.00	
2.		
3.		
4.		
5.		
6.