Private LRAP Programs May Offer Student Loan Peace of Mind
We’ve written here before about LRAPs (loan repayment assistance programs) through government agencies and some law schools, but there’s a private LRAP firm that’s signing up colleges to participate in their programs. This is an interesting form of student loan “insurance” that may give some borrowers peace of mind – if your institution of choice is enrolled.
To refresh you – an LRAP is a program that makes loan payments on your behalf (either full or partial payments). Work-related LRAPs offer them as a perk of signing on – usually with a government agency. Some law schools offer LRAPs for those that work in lower paying public service positions such as public defender offices.
The LRAP program we’re talking about today is offered by a private company – the LRAP Association – and has been offered since 2008. The founder of the LRAP Association, Peter Samuelson, was himself a recipient of Yale’s LRAP program, which was one of the earliest of its kind founded in 1989. Other advisors attached to the LRAP Association are two of the founders of Yale’s LRAP and a former executive from Sallie Mae.