In-State Tuition Rates for Military Members and Their Families
A member of the armed forces on active duty for a period of more than 30 days, and the member’s spouse or dependent children, will be eligible to pay in-state tuition at public colleges and universities in the state where they are domiciled or permanently stationed for enrollment periods beginning after July 1, 2009. The terms “armed forces” and “active duty for a period of more than 30 days” have the meanings given in section 101 of Title 10 of the U.S.C. as follows:
- Armed Forces - means the Army, Navy, Air Force, Marine Corps, and Coast Guard.
- Active duty for a period of more than 30 days - means active duty under a call or order that does not specify a period of 30 days or less. Active duty means full-time duty in the active military service of the United States and includes full-time training duty, annual training duty, and attendance, while in the active military service, at a school designated as a service school by law or by the Secretary of the military department concerned. This term does not include full-time National Guard duty.
Once a Service member or their family members are enrolled and paying in-state tuition, they will continue to pay the in-state tuition rate as long as they remain continuously enrolled at the institution even if the Service member is reassigned outside the state.
This change is included in section 135 of the Higher Education Opportunity Act (H. R. 4137) (HEOA) which was signed into law on August 14, 2008 and amends and extends the Higher Education Act of 1965 (HEA). The requirement applies to all public institutions that receive funds under a program authorized by the HEA.
The Department of Education has worked with the institutions of higher education and is confident they are aware of the changes in the law and are fully implementing the policy. If you encounter difficulties, contact the institution’s Registrar or the Veterans Affairs Office. Also, let the financial aid office know your status as a qualifying military service member, spouse or dependent.
In the rare cases where school officials can’t resolve the situation, please complete the online Ombudsman Assistance Request Form at https://ombudsman.ed.gov/OmbudsmanWebApp/do?action=getRequest.
Income Based Repayment
On July 1, 2009 a major new student loan repayment option will become available for the first time. Income Based Repayment (IBR) is a new repayment plan for the major types of federal loans made to students. Under IBR, your required monthly payment is capped at an amount that is intended to be affordable based on your income and family size. Please click the following link for additional information. http://studentaid.ed.gov/PORTALSWebApp/students/english/IBRPlan.jsp#content
Stimulus and First Time Home Buyers Credit Payments Can Be Withheld to Pay Student Loans
The American Recovery and Reinvestment Act of 2009 provides stimulus payments of $250.00 to recipients of Social Security, Supplement Security Income, Railroad Retirement Benefits and Veterans Disability Compensation or Pensions. These payments can be withheld if you have a defaulted federal student loan. Other federal payments (such as First Time Home Buyers Credit) may also be subject to offset to collect on defaulted federal student loans. Ask your loan holder how to make payment arrangements to avoid offset.
The Department of Education and Federal Trade Commission Guide on Deceptive Student Loan Marketing
The Department of Education and Federal Trade Commission prepared a guide with advice to students, parents and others on how to spot deceptive marketing, tips on how to navigate the consolidation loan market, and information on how to file a complaint against a lender. Click here for a copy of the guide
Telephone Scholarship Scammers Claim To Be From USED
WUPW-TV Toledo (3/7, 10:25 p.m.) reported, "A warning going out for college-bound students and parents, don't get caught up in a scholarship scam. ... The US Department of Education says someone is trying to rip off students in need of scholarships. ... It's serious enough that University of Toledo police are posting a warning on their website. Someone is allegedly calling students and offering them scholarships, but police say it's all really a scam. ... Someone is calling college-bound kids and claiming to be from the US Department of Education. They offer up scholarships and grants, and say they need a bank or credit card number for a $249 dollar processing fee."
