Worry about LRAP's Forum

[Tanicius]

Going into this process I didn't know that LRAP's like those at NYU, Mich, and GULC even existed, and when I found out about them I suddenly decided that going to a top school for public interest might actually be worth it. I've even been contemplating ED'ing one of the CCNMVP just to make absolutely sure I get the one school I want the most, sacrificing potential scholarship money. There's just been one hangup that I've worried about for awhile now.

What happens if, before the ~10 years are up and my loans are forgiven, I get married?

I know it's different for most of the LRAP's, and some of them seem to be pretty good for married people (such as GULC's, which apparently counts each spousal income separately as long as they file their tax returns separately), but I want to make sure I'm not walking into a very idiotic position. Let's say I marry someone who works in the private sector and earns more than 100k. Am I suddenly screwed under some of these LRAP's? Please, accountants of TLS, tell me what's up and hopefully dispel my fear.

[andreea7]

Going into this process I didn't know that LRAP's like those at NYU, Mich, and GULC even existed, and when I found out about them I suddenly decided that going to a top school for public interest might actually be worth it. I've even been contemplating ED'ing one of the CCNMVP just to make absolutely sure I get the one school I want the most, sacrificing potential scholarship money. There's just been one hangup that I've worried about for awhile now.

What happens if, before the ~10 years are up and my loans are forgiven, I get married?

I know it's different for most of the LRAP's, and some of them seem to be pretty good for married people (such as GULC's, which apparently counts each spousal income separately as long as they file their tax returns separately), but I want to make sure I'm not walking into a very idiotic position. Let's say I marry someone who works in the private sector and earns more than 100k. Am I suddenly screwed under some of these LRAP's? Please, accountants of TLS, tell me what's up and hopefully dispel my fear.

Well, like you say, it depends on the school. At Columbia for example, if you are married they could either consider your income or the sum of the two incomes divided by two, as the basis for calculation, depending on which one is higher. Then you pay every year 34 percent of whatever is over $50,000. So if your prospective spouse makes $100,000 and you make $40,000, they will take into account the two incomes divided by two as that is the higher amount. So you would have to pay 34 percent of $20,000 ($70,000 - $50,000) toward your loans ever year, so $6,800. Given that you would have a household income of $140,000 that is obviously not much of a burden. When you are married, everything is pooled together...hence marriage. If you are in the kind of marriage where her money is her money and your money is your money, then you are indeed more burdened by the debt.

[Tanicius]

That's pretty helpful, and also in line what I've researched in the LRAP's at other schools. Overall I'm pretty relieved by this. There really doesn't seem to be that much of a downside to the LRAP, and that's almost what spooks me about it -- it just seems too good to be true.

[andreea7]

That's pretty helpful, and also in line what I've researched in the LRAP's at other schools. Overall I'm pretty relieved by this. There really doesn't seem to be that much of a downside to the LRAP, and that's almost what spooks me about it -- it just seems too good to be true.

They can do it probably because not that many students actually go into public interest. I believe the numbers for Columbia were below 10%. I remember seeing 3% but maybe that was too low.

[andreea7]

That's pretty helpful, and also in line what I've researched in the LRAP's at other schools. Overall I'm pretty relieved by this. There really doesn't seem to be that much of a downside to the LRAP, and that's almost what spooks me about it -- it just seems too good to be true.

Also to keep in mind though -- Columbia probably has one of the best LRAP programs because it does not have a ceiling for your income, it is just matter of debt/income ratio.