What is the Tufts Loan Repayment Assistant Program?
The Tufts Loan Repayment Assistance Program (LRAP) is a university-wide program that helps selected Tufts graduates working in public service pay a portion of their annual education loan bills. Believed to be the first university-wide program of this kind in the country, the purpose of Tufts LRAP is to encourage and enable Tufts graduates to pursue careers in public service and meeting an unmet need by reducing the extent to which their educational debt is a barrier to working in comparatively low-salaried jobs in the non-profit and public sectors.
Who is eligible to apply?
All Tufts graduates who have earned undergraduate, graduate or professional degrees, have incurred educational loans for the purpose of attending Tufts as certified by the Financial Aid Office at Tufts and are employed full time by a non-profit (501c3 or equivalent) or public sector organization are eligible to apply.
Applicants must be currently repaying educational loans or be in a grace period. Applicants who have deferred payments, have defaulted on their loans, or are delinquent on their loan payments are not eligible for the program.
What are public sector organizations?
Organizations that deal with the delivery of goods and services by and for the government, whether national, regional or local/municipal. (i.e. City, State and Government organizations).
Are people who have completed Tufts certificate programs eligible for this award?
No, unless they have also completed a Tufts degree program.
Is there any limit as to how many years ago a graduate earned a Tufts degree?
No, there is no limit, as long as all other requirements are met.
Are Tufts employees eligible to apply?
Yes, if the employee is a Tufts graduate.
How can I apply?
The following must be submitted:
- Completed application form
- Resume
- Current pay stub for applicant and spouse or domestic partner
- Employer Certification Form
- A copy of all recent student loan statements
- The loan statement must provide your name, loan balance, monthly payment amount, and current loan status.
- If your statements are electronic, please print a copy of your detailed loan summary including the required information from your Lender web site.
Completed application and all required documentation must be submitted together with the exception of the Employer Certification Form. This form may be submitted separately by your employer.
When will I receive my payment?
Approximately two months after award recipients have been notified of their award and they have completed and returned their paperwork.
Can I receive support from the LRAP for multiple years?
Yes, but you must reapply each year. Receiving an LRAP award in one year does not guarantee that you will receive an award in the future. The amount of an award to an individual may vary from year to year.
Is there a limit to the number of years or the amount of support that I can receive?
No; however, because the program aims to serve as many Tufts graduates as possible, it is expected that individuals may not receive an award if their ability to repay loans increases over time and as the overall number of applicants increases.
What will determine if I receive an award and how large an award I receive?
- The size of the awards will depend upon the overall number of applicants, the amount of funding that is available, an individual’s income, level of indebtedness, and overall need.
- Priority will be given to those with higher levels of debt and lower salaries.
- This assistance is not intended to cover your entire yearly loan payments.
Can I apply to the LRAP before I take a job with a public sector or non profit organization?
No, you must be working full time for a nonprofit or public sector organization by the application deadline of September 1st.
If I take a job with a nonprofit or public sector organization, can I count on receiving an LRAP award?
While the program aims to serve as many alumni as possible, there is no guarantee that any individual will receive an award.
Are LRAP awards taxable?
The Tufts LRAP is structured so that the awards should not be taxable, pursuant to special federal income tax rules that apply to the discharge of student loan debt (26 U.S.C. § 108(f)).
- In accordance with this provision, Tufts LRAP awards are made in the form of loans which are forgiven when the award recipient completes at least 9 months of continued public service employment.
- Employment will be measured beginning with the application deadline of September 1st.
- Applicants should consult a tax advisor with specific tax-related inquiries.
If I receive an award and stop working or change jobs during the year, how will that affect my award?
Any changes to your employment status must be reported to the LRAP program office as soon as possible. If applicants fail to provide this information they may be responsible for repayment of partial or all award monies received.
If qualified employment is not achieved within 30 days or is replaced by a non-qualified position, the severance date of qualified employment will initiate repayment. For example:
- An applicant has employment which qualifies him or her to apply for the LRAP as of the 9/1 application date.
- However, the applicant fails to meet the required 9-months of continued employment after this date and terminates employment on 3/1, 6 months after the application date.
- The applicant then has 30 days - until 4/1 - to begin working in another position qualified for LRAP.
- If the applicant moves to the private sector, or does not find new qualified employment, the applicant will have to repay the 3-month portion of the loan covering 3/1 (the last day of employment) until 6/1 (last day of 9-month minimum).
- Repayment will begin the month following the last date of qualified employment. In this case, repayment for the final portion of the loan will begin 4/1.
How is the Tufts Loan Repayment Assistance Program being financed?
Funds are provided from interest generated by the Omidyar Tufts Microfinance Fund and the Hargens Loan Repayment Assistance Fund.
Can I apply for assistance from more than one school at Tufts?
Yes, the program is open to graduates of multiple schools and of joint or dual degree programs. Applicants need only fill out a single application per year for consideration. One award will be given per recipient.
What does Tufts Certification Mean?
Tufts certified loans are Federal and alternative loans that were verified and certified in the applicant's name through a Tufts University Financial Aid office. Federal Stafford, Perkins, HPSL, Grad Plus, Institutional, and Alternative (i.e., MEFA, Citiassist, Signature) are examples of loans that qualify.
Non certified loans are loans that do not go through a Tufts University Financial Aid office. Such loans are Parent Plus loans, home equity loans, personal loans or loans that were acquired without the verification or certification of a Tufts University Financial Aid office.
Whom can I talk to if I have questions?
Judi Kennedy
LRAP Administrator
Tufts University
Dowling Hall - 770
419 Boston Ave.
Medford, MA 02155
E-mail: lrap@ase.tufts.edu
Phone: 617-627-4440