Chicago Class of 2014 Forum

[JFo]

Can PHD programs count too? I promise I can spin it as being a public service...somehow. I'm guessing the next chat w/Ms. Vargas will be hopping!

Dulc. You have to go now.

[WhatSarahSaid]

So you better be DAMN sure when you sign up, because if you quit at year 9 your debt has been gaining interest for 9 years.

I (obviously) have no real numbers to work with, but signing up and dropping out after 1-2 years might pay off in the long run if you do a clerkship and then jump into BigLaw, assuming that it'd be difficult for you to pay off loans while clerking.

[4102011]

Maybe for a couple years, but for a significant number, definitely not haha.

& this lets me just base my decision on where I like the most when I visit. Yay!

[Dany]

Read: y'all had BETTER make UChi's ASW fun!

[JFo]

Maybe for a couple years, but for a significant number, definitely not haha.

& this lets me just base my decision on where I like the most when I visit. Yay!

I'll start making my "Chicago: The Only Choice" flow-chart and giant poster.

Bar hopping/general debauchery on Thursday/Friday night @ASW?

[DorianGray89]

So question about the new LRAP, and im not sure if anyone knows or not, but let's say IBR says you pay 550 a month, and UChicago pays that for you every month, can you still pay money out of pocket to add to that 550 so that you'll be out of debt sooner?

[Ghost]

.

[4102011]

So question about the new LRAP, and im not sure if anyone knows or not, but let's say IBR says you pay 550 a month, and UChicago pays that for you every month, can you still pay money out of pocket to add to that 550 so that you'll be out of debt sooner?

I think so? But would you really pay it all off significantly before the ten years are up? Because if you stick with it for ten years, it's all free. If you're not going to stay ten years, then maybe it's worth it? I don't know.

[Ghost]

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[DorianGray89]

So question about the new LRAP, and im not sure if anyone knows or not, but let's say IBR says you pay 550 a month, and UChicago pays that for you every month, can you still pay money out of pocket to add to that 550 so that you'll be out of debt sooner?

Not sure, but the assumption is under IBR that you stay in that or another qualifying career for 10 years. At which point paying any additional money toward your debt would be a waste since the debt cancels after 10 years.

Unless you stay in the same job but get a raise that gets you over 80k a year?

[Saul Goodman]

Isn't this part a good thing?

"Graduates who choose to exit the IBR program will be subject to negative amortization by the Department of Education. This means that there will be an increase to the outstanding debt balance. Depending upon when a graduate exits, this could be a significant amount added to their debt load. To assist with this issue, the Law School will offer graduates that have completed at least five years of public service in the Program a one-time $10,000 payout. Clerkship years are included in the five years required for the payout."

[DorianGray89]

Isn't this part a good thing?

"Graduates who choose to exit the IBR program will be subject to negative amortization by the Department of Education. This means that there will be an increase to the outstanding debt balance. Depending upon when a graduate exits, this could be a significant amount added to their debt load. To assist with this issue, the Law School will offer graduates that have completed at least five years of public service in the Program a one-time $10,000 payout. Clerkship years are included in the five years required for the payout."

What if you dont exit the IBR program, but start making more than 80k. As in you exit the LRAP but you still keep paying under IBR?

[Ghost]

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[Ghost]

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[rundoxierun]

Isn't this part a good thing?

"Graduates who choose to exit the IBR program will be subject to negative amortization by the Department of Education. This means that there will be an increase to the outstanding debt balance. Depending upon when a graduate exits, this could be a significant amount added to their debt load. To assist with this issue, the Law School will offer graduates that have completed at least five years of public service in the Program a one-time $10,000 payout. Clerkship years are included in the five years required for the payout."

If this part comes into play, chances are you are incredibly screwed. Basically, since chances are that your IBR payments wont cover the interest on your loan, this assists with the interest that has piled up on your principal. I.e. you exit IBR owing more than you did when you began.

[ExpectLess]

It seems odd that the new LRAP is a 10 years-or-bust sort of thing, especially considering the previous LRAP was a yearly $10k for working in public service.

So your loans aren't being paid off, per say, in the LRAP, just being deferred until the 10 year point when they're all discharged? How is that better than other LRAPs where loans are paid off yearly?

Or do they pay off your loans yearly and the negative amortization is only on the remaining loans that have not been paid off?

[4102011]

I'm pretty sure nothing gets paid off/forgiven until the end of the ten years when everything is in one fell swoop. Which is why it's dangerous.

[sarahlawg]

I'm pretty sure nothing gets paid off/forgiven until the end of the ten years when everything is in one fell swoop. Which is why it's dangerous.

It's the same deal you get at NYU/Col, no?

[4102011]

I'm pretty sure nothing gets paid off/forgiven until the end of the ten years when everything is in one fell swoop. Which is why it's dangerous.

It's the same deal you get at NYU/Col, no?

It's been a while since I read through those programs. So...not entirely sure.

[Non-Chalant1]

I'm pretty sure nothing gets paid off/forgiven until the end of the ten years when everything is in one fell swoop. Which is why it's dangerous.

It's the same deal you get at NYU/Col, no?

No it's not. I don't have exact details right now, but that's now how they go. Let me investigate and get back on that. I could be off a little.

[DorianGray89]

Columbia's LRAP loans (the money Columbia gives you to pay back your loans) arent forgiven until the fifth year, so if you leave public interest before five years are due, you owe Columbia all that money. NYU is the same, except that they are forgiven on the third year. Chicago's are forgiven every year.

[Emma.]

Basically, now you guys have no reason not to come here.

[kulshan]

A graduate must be: (a) engaged in the full-time practice of the law, or in a position normally requiring a law degree; (b) working for the public interest broadly defined; and (c) working for a non-profit organization, defined as a 501(c)(3), government office, or judicial clerkship, other than academia.

So, this is pretty clear, but just to double check... the LRAP does NOT cover academic jobs, right?

[arism87]

Columbia's LRAP loans (the money Columbia gives you to pay back your loans) arent forgiven until the fifth year, so if you leave public interest before five years are due, you owe Columbia all that money. NYU is the same, except that they are forgiven on the third year. Chicago's are forgiven every year.

You seem to know things. Do you mind explaining this more? I really don't know much about LRAP yet, but I am interested in PI and had all but written Chi off until today...

[Hey-O]

A graduate must be: (a) engaged in the full-time practice of the law, or in a position normally requiring a law degree; (b) working for the public interest broadly defined; and (c) working for a non-profit organization, defined as a 501(c)(3), government office, or judicial clerkship, other than academia.

So, this is pretty clear, but just to double check... the LRAP does NOT cover academic jobs, right?

Also, what about UN jobs? Are they considered government?