Are LRAPs Reliable?

Discuss comparisons of various school choices and the various metrics that inform them, including rankings, student life, location, etc.
Post Reply
LLLL1111
Posts: 4
Joined: Mon Apr 29, 2019 6:23 pm

Are LRAPs Reliable?

Post by LLLL1111 » Wed May 15, 2019 11:21 pm

How reliable are Loan Repayment Assistance Programs? How can school guarantee that the programs will exist well into the future? I know that we can't predict the future, but how likely is it that schools would cancel or drastically change their LRAPs in the near/distant future? I'm considering GULC specifically, but also asking for evidence from law schools in general.

User avatar
UVA2B
Moderator
Posts: 3146
Joined: Thu Jan 25, 2018 3:26 pm

Re: Are LRAPs Reliable?

Post by UVA2B » Thu May 16, 2019 3:52 am

The easiest way to tell if an LRAP is "reliable" is if it's tied to PSLF or not. I believe all of the T6 have disconnected their LRAP programs from PSLF, for instance, meaning they will continue whether government-backed PSLF continues or not. That's not to say an LRAP at another school that is tied to PSLF will die with PSLF (if PSLF ever died), but it is definitely possible the program could suffer in that case with lower income ceilings or more restrictively-defined jobs eligible for LRAP.

Since it's impossible to predict the future, I would assume these programs will all continue in their current form, especially at top schools like GULC, since they would suffer reputational harm if they ever seriously cut back on their LRAP programs.

User avatar
Echos Myron
Posts: 664
Joined: Fri Jan 26, 2018 2:53 pm

Re: Are LRAPs Reliable?

Post by Echos Myron » Thu May 16, 2019 4:53 am

UVA2B wrote:
Thu May 16, 2019 3:52 am
The easiest way to tell if an LRAP is "reliable" is if it's tied to PSLF or not. I believe all of the T6 have disconnected their LRAP programs from PSLF, for instance, meaning they will continue whether government-backed PSLF continues or not. That's not to say an LRAP at another school that is tied to PSLF will die with PSLF (if PSLF ever died), but it is definitely possible the program could suffer in that case with lower income ceilings or more restrictively-defined jobs eligible for LRAP.

Since it's impossible to predict the future, I would assume these programs will all continue in their current form, especially at top schools like GULC, since they would suffer reputational harm if they ever seriously cut back on their LRAP programs.
UChicago’s LRAP is still tied to PSLF

NYU and CLS have pslf and non-pslf LRAP options. The pslf LRAP ostensibly requires lower out of pocket costs but could lead to negative amortization

User avatar
cavalier1138
Posts: 102
Joined: Fri Jan 26, 2018 5:39 am

Re: Are LRAPs Reliable?

Post by cavalier1138 » Thu May 16, 2019 7:07 am

Since you mentioned GULC:

Their program is 100% tied to PSLF, and there have been articles about the dangers of losing that program the instant the government cuts/limits PSLF. The good news for current students is that FAFSA paperwork for loans includes a clause about PSLF, so that's a pretty strong guarantee that even if the program gets cut (which still has yet to happen, despite all the doomsday prophecies), students who started law school while it was active will be grandfathered in.

User avatar
UVA2B
Moderator
Posts: 3146
Joined: Thu Jan 25, 2018 3:26 pm

Re: Are LRAPs Reliable?

Post by UVA2B » Thu May 16, 2019 1:46 pm

Echos Myron wrote:
Thu May 16, 2019 4:53 am
UVA2B wrote:
Thu May 16, 2019 3:52 am
The easiest way to tell if an LRAP is "reliable" is if it's tied to PSLF or not. I believe all of the T6 have disconnected their LRAP programs from PSLF, for instance, meaning they will continue whether government-backed PSLF continues or not. That's not to say an LRAP at another school that is tied to PSLF will die with PSLF (if PSLF ever died), but it is definitely possible the program could suffer in that case with lower income ceilings or more restrictively-defined jobs eligible for LRAP.

Since it's impossible to predict the future, I would assume these programs will all continue in their current form, especially at top schools like GULC, since they would suffer reputational harm if they ever seriously cut back on their LRAP programs.
UChicago’s LRAP is still tied to PSLF

NYU and CLS have pslf and non-pslf LRAP options. The pslf LRAP ostensibly requires lower out of pocket costs but could lead to negative amortization
Thanks for the backup on this, I’m not as smart on the various LRAPs as I could be.
cavalier1138 wrote:
Thu May 16, 2019 7:07 am
Since you mentioned GULC:

Their program is 100% tied to PSLF, and there have been articles about the dangers of losing that program the instant the government cuts/limits PSLF. The good news for current students is that FAFSA paperwork for loans includes a clause about PSLF, so that's a pretty strong guarantee that even if the program gets cut (which still has yet to happen, despite all the doomsday prophecies), students who started law school while it was active will be grandfathered in.
This is a great point, and I wouldn’t cast doom and gloom around current students beyond how difficult forgiveness has already been for those who have reached 120 payments in the past year+. The statistics of those who were approved for forgiveness were pretty abysmal at first, but the current Dep. of Education makes that fact pretty unsurprising.

User avatar
cavalier1138
Posts: 102
Joined: Fri Jan 26, 2018 5:39 am

Re: Are LRAPs Reliable?

Post by cavalier1138 » Fri May 17, 2019 6:22 am

UVA2B wrote:
Thu May 16, 2019 1:46 pm
This is a great point, and I wouldn’t cast doom and gloom around current students beyond how difficult forgiveness has already been for those who have reached 120 payments in the past year+. The statistics of those who were approved for forgiveness were pretty abysmal at first, but the current Dep. of Education makes that fact pretty unsurprising.
The other thing to keep in mind there is that (at least in every article I read) the people who didn't qualify had evidently been paying the loans down on the wrong schedule. One person was even quoted as being upset that they were turned down because they had been overpaying each month. And at least part of that was down to the company that took over the loan not properly informing these people of how the qualifying payment schedule was supposed to work. So the issue wasn't so much that the DOE was repeating the weird situation they did with the ABA and finding someone's job didn't qualify after ten years. It was more that people were paying the loans on a non-IBR/PAYE schedule.

I also haven't seen any follow-up on that story to see if things have gotten better in terms of the number of people qualifying, so that's a hanging question.

User avatar
Nebby
Posts: 6864
Joined: Thu Jan 25, 2018 3:24 pm

Re: Are LRAPs Reliable?

Post by Nebby » Mon May 20, 2019 9:49 pm

Yes, they are reliable.

Also, the proposed changes to PSLF include grandfather provisions so that PSLF changes will only affect loans disbursed after enactment of PSLF changes. E.g., if you're done with LS by the time PSLF law changes, you'll still be able to participate in PSLF.

BarryPaine
Posts: 4
Joined: Sun Jun 30, 2019 7:10 pm
Contact:

Are LRAPs Reliable

Post by BarryPaine » Sun Jul 07, 2019 12:46 am

i don't think you should rely on websites that rate law schools...i think they are usually sponsored.....it is better to talk with students who graduated.

User avatar
cavalier1138
Posts: 102
Joined: Fri Jan 26, 2018 5:39 am

Re: Are LRAPs Reliable

Post by cavalier1138 » Sun Jul 07, 2019 3:15 pm

BarryPaine wrote:
Sun Jul 07, 2019 12:46 am
i don't think you should rely on websites that rate law schools...i think they are usually sponsored.....it is better to talk with students who graduated.
1. This site isn't sponsored.

2. How is that related to the OP's question?

Post Reply

Who is online

Users browsing this forum: No registered users and 6 guests