Student loan payments

[JWK]

Has anyone seen an education assistance program that reimburses employees for student loan payments? I'm envisioning a program much like a health FSA where the employee submits his/her proof of payment of each installment due on student loans and gets reimbursed by employer up to $5250 per year. It's possible that the employee took the courses several years ago and is still making loan payments. Would this work under section 127?

[Guest ERISAweasel]

This seems unlikely to qualify as "educational assistance." Educational loan relief is arguably not the same thing as education expense.

Also, § 1.127-1©(3)(ii) precludes reimbursement for meals, lodging and travel -- yet educational loans often provide students with proceeds meant to pay for room & board in addition to pure tuition-related funds. Might prove fairly difficult to administer.