JAG Corps and Loan Repayment, SCRA Forum

[Anonymous User]

I am wondering if anyone has feedback re: student loan repayment for JAGs. My law school financial aid office recommended consolidating my loans to make it easier - and then apply for IBR and PSLF. Elsewhere I read a suggestion to NOT consolidate your loans if you're going into the military because consolidation gives you a new loan origin date (date of consolidation) and then you may not be eligible for the SCRA (because for SCRA your loan must originate prior to service).

It looks like the (SCRA) Servicemembers Civil Relief Act caps future interest at 6% max while you are on active duty. Per http://www.military.com/benefits/milita ... rview.html :
"No interest above 6% can accrue for credit obligations (that were established prior to active duty or activation) while on active duty. The portion above 6% is permanently forgiven... Monthly payment myst be reduce by amount of interest saved during the covered period... SCRA eligibility - protection begins at date of entering active duty and generally terminates within 30-90 days after discharge from active duty."

1. Has anyone dealt with this already? Your advice would be much appreciated.

2. Loan origination date - if you consolidate loans prior to "activating" (e.g. while IRR), but post-comission, would that mean that loans could potentially be consolidated + eligible for SCRA protection? (Or is your commission date also your activation date?)

[aka123]

Ugh. THANK YOU for starting this. Ive been wondering about this as well. I have an appointment with my school's financial aid director so I'll be sure to share any information I get as well.

[Husky09]

I would also really appreciate the insights of others - my school's financial aid office doesn't know anything about SCRA, so they couldn't provide much info.