UniversityNot all universities are out to make recent graduates even poorer. Unlike the schools we wrote about last week, suing students over defaulted loans, a private Christian college in Michigan is actually trying to lift the financial burden off the shoulders of its students and their parents.  Spring Arbor University in Spring Arbor, Mich., announced  Tuesday that all incoming fall freshmen in 2013 would be automatically enrolled in its Loan Repayment Assistance Program, made available through the Loan Repayment Assistance Foundation. The university will help students pay back their student loans after they graduate if their income does not meet specific benchmarks.

“We are providing a safety net for them,” said Matthew Osborne, vice president for enrollment management at the university, which was founded in 1873.

The program is opened to students who are U.S citizens or parents who are struggling to repay educational loans. The foundation aims to reimburse loan payments depending on their income. The students in the program must work 30 hours a week, verifiable via pay stubs. “Spring Arbor University realizes that the education debt load is a real issue students are facing,” said Malachi Crane, assistant vice president for communications. ”It’s becoming a greater issue every year. We wanted to be as proactive as possible to address the needs of students and parents to come.”

Tuition at Spring Arbor’s is about $22,000 and next year will surpass $23,000. “Spring Arbor University realizes that the education debt load is a real issue students are facing,” said Malachi Crane, assistant vice president for communications. ”It’s becoming a greater issue every year. We wanted to be as proactive as possible to address the needs of students and parents to come. The beauty of the program structuring is that it’s like a reverse scholarship. For a scholarship, you know how much you will receive in four years.  This relief shows what happens afterward.”

Do you think this is a step in a good direction that more universities should follow?

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  • honeybooboo

    where do i sign up?

  • Typically, if you want to get student loan reimbursement from an employer, you will need to pursue a degree that is related to your current job. You may need to fill out a number of forms or an application to state the degree you are pursuing, when you expect to complete it, and the amount of tuition that is charged, just to name a few. Your employer will then review these forms and determine if they will offer you student loan reimbursement based on these factors, or if you will be responsible for your own loans.

    • blah

      oh.