Can I use my G.I. Bill to pay off student loans?
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UPDATED: Nov 11, 2011
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While most G.I. Bills cannot be used to pay off student loans directly, the money from the Montgomery G.I. Bill (MGIB) can be used for anything school-related. The MGIB is a very large and often under-used benefit offered to service members. The goal of the MGIB is to help soldiers or former soldiers acquire an education. As a result, the money from the MGIB can be used to pay off school loans.
The payment rate of the MGIB is adjusted once a year (on October 1), and is currently awarding a maximum of $1,473 per month. The monthly payment is given for up to eight semesters, or four years’ worth of education.
In order to qualify for the MGIB benefits, you must have:
- Contributed $100 a month for your first year in active duty, or qualified for the Veterans Education Assistance Program (VEAP) conversion
- Graduated high school or received your GED
- Served at least two years on active duty
The MGIB can be used for many programs, but is commonly used to fund the following:
- Business school
- Technical school
- Vocational school
- Flight training
- Licensing and certification exams
Most colleges and universities are VA-approved, but so are other institutions offering non-college degrees. Before pursuing education courses, search the Department of Veterans Affairs’ list of approved education and job trainings programs to make sure the school you hope to attend is a VA-approved school.