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Which loans qualify for loan repayment?
If you have been approved for LRP payments or are a participant, after consolidating your loans you must provide NIH with the following: a disclosure statement from your new lender, to include (1) the loan(s) paid off in the consolidation, (2) the name(s) of the prior lender(s), and (3) the total amount paid for the loan(s). You must also provide a current balance statement from your new lender, showing the payoff amount of your consolidated loan(s), and a loan data verification (LDV) form, completed and signed. The LDV form is provided by the LRP office.
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Which loans do not qualify for loan repayment?
Most educational loans from U.S. Government (Federal, state or local) or chartered U.S. academic institutions and/or commercial lenders that are subject to examination and supervision in its capacity as a lending institution by an agency of the United States or of the State in which the lender has its principal place of business qualify. Loans eligible for LRP repayment cannot be consolidated with any loans issued to another individual, such as a spouse or child, or with non-educational loans. Click here for more details.
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Do consolidated student loans qualify?
Yes, student loans can be consolidated at any time. Consolidation can save you interest expenses and streamline the management of your debts. However, it is extremely important to not consolidate your student loans with either those of another (such as a spouse or child) or non-educational loans. If you consolidate your student loans into a home equity loan or personal loan, it is ineligible for repayments.
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I consolidated my student loans. What now?
If you have been approved for LRP payments or are a participant, after consolidating your loans you must provide NIH with the following: a disclosure statement from your new lender, to include (1) the loan(s) paid off in the consolidation, (2) the name(s) of the prior lender(s), and (3) the total amount paid for the loan(s). You must also provide a current balance statement from your new lender, showing the payoff amount of your consolidated loan(s), and a loan data verification (LDV) form, completed and signed. The LDV form is provided by the LRP office.
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How do I know when my next LRP payment will be released?
The NIH makes your loan repayments on a quarterly schedule upon verification of completed research service and all previous LRP payments. If you are unsure when your next LRP payment will be released, or to which lender it will be sent, please review your Participant Secure Site via this link: http://www.lrp.nih.gov/participants/default.asp. The 'Projected Date of Payment' is the month when your LRP payment is scheduled to be processed.
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How are LRP payments calculated? What will my payments be?
Payment projections are based on your repayable debt calculated at the start of your LRP contract. The LRP sets the quarterly payment
amount based on an annual rate of 25 percent of repayable debt (up to a maximum of $35,000.00 per annum or $8,750 per quarter).
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How is my quarterly LRP payment amount determined?
Payment projections are based on your repayable debt calculated at
the start of your LRP contract. The LRP sets the quarterly payment
amount based on an annual rate of 25 percent of repayable debt (up
to a maximum of $35,000.00 per annum or $8,750 per quarter). |
Are the quarterly payments fixed over the life of my LRP contract?
No. Your LRP payment amount is subject to change since the LRP has agreed to make payments at an annual rate of 25 percent of your repayable debt - not a fixed dollar amount. Over the course of your LRP contract period, your repayable debt will likely change. For example, if the interest rate on one or more of your variable rate loan(s) changes, your repayable debt will increase or decrease accordingly. Your repayable debt will decrease if you make a payment to one or more of your interest bearing loans, since the smaller principal balance resulting from your payment reduces the amount of estimated future interest in your payment projections. |
I received an email notifying me that a payment from the LRP was sent to my lender. What should I do now?
Whenever an LRP payment is sent to your lender, LRP sends you an e-mail notification with instructions for payment verification. Wait at least 10 business days before contacting your lender for a verification statement. Be sure to send the verification to NIH at FAX 301 480 0756. The LRP office can release your next payment only if it has received verification of the prior payment. |
Can loan payments I have already made offset my LRP participant obligation?
Only payments made after the start of a LRP contract can count toward the participant obligation. For your payments to be properly credited, you must submit a lender statement showing the date of receipt and full amount of each payment you would like credited, plus the current balance of the account.
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