The American Bar Association, or ABA, states that the average law school graduate incurs a debt of $80,000. Coupled with undergraduate loans, the total debt for new lawyers can run as high as $120,000. Loan Repayment Assistance Programs, or LRAPs, are a way to relieve law school debt. Participants in LRAPs can have loans forgiven, interest rates lowered or payments postponed. LRAPs are administered by states, law schools and employers.
Law School LRAPs
Equal Justice Works notes that more than 100 law schools offer LRAPs to their students. Graduates apply to an LRAP in order to receive funds that help with law-school loan repayment. Aid is available to law school graduate working in lower-paying legal fields such as government or public interest. Specific eligibility requirements may need to be met. For example, graduates from California Western School of Law are eligible to apply for repayment support if they are employed full time in a law position at a nonprofit or legal services organization; applicants must have at least $50,000 in law school debt in order to be eligible for assistance.
State-Based LRAPs
Twenty-three states offer LRAPs to law school graduates. The state-based programs are administered by nonprofits, state education foundations and bar foundations. State-based LRAPs will typically require applicants to hold qualifying employment. Qualifying employment includes public defense and prosecution, civil legal aid and nonprofit legal work. Applicants may need to meet state requirements with respect to income, type of loan and amount of debt they hold. Some state-based LRAPs, such as the one offered by the Arizona Bar Foundation, only offer aid to applicants who work for approved nonprofit agencies.
Employer LRAPs
Employer LRAPs are offered by public-sector and public-interest organizations such as public-defender offices and civil legal service organizations. Equal Justice Works notes that 77 organizations offered repayment assistance in 2008. Attorneys received an average of $2,500. Federal government employees at agencies such as the Department of Justice and Securities and Exchange Commission are eligible for repayment assistance benefits. LRAP benefits are used by employers in the government and public sector to attract and retain qualified applicants.
Other LRAPs
The Civil Legal Assistance Attorney Student Loan Repayment Program, or CLAARP, is a program that repays a portion of federal student loan for civil assistance attorneys who are employed full time. The John R. Justice Student Loan Repayment Program, or JRJ, provides repayment assistance for state and federal public defenders and prosecutors who agree to remain in their positions for at least three years.
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