20 AAC 15.705 - Applicant eligibility
Current through April 6, 2022
(a) A borrower of
an Alaska supplemental education loan (ASEL) must meet the eligibility
requirements of
AS
14.43.172 and
14.43.173
and
(1) must be enrolled and admitted into an
eligible program of study on at least a half-time basis;
(2) must maintain satisfactory academic
progress as determined by the school's policy;
(3) may not be in default on any federal or
state education loan;
(4) if the
individual is eligible to participate in the AlaskAdvantage loan program based
solely on the individual's status as a resident of this state, during periods
of absence from this state under
AS
14.43.162(c), must have, and
must demonstrate behavior consistent with, a continuing intent to return to and
remain permanently in this state; and
(5) be a United States citizen or permanent
resident alien admitted to the United States as a lawful permanent resident
according to
8
U.S.C. 1101-
1537
(United States Immigration and Nationality Act).
(b) The commission staff may perform a credit
history check on each loan applicant and endorser.
(c) To be considered eligible for the loan
the applicant, or endorser if required under
AS
14.43.172, must have a credit history that
demonstrates good credit. For purposes of this paragraph, an applicant will be
considered to have good credit if the applicant has a FICO score that is equal
to or higher tl1an the FICO score set by the corporation or meets other FICO
score - related credit criteria set by the corporation, and an endorser will be
considered to have good credit if the endorser has a FICO score that is equal
to or higher than the FICO score set by the corporation or meets other FICO
score - related credit criteria set by the corporation.
(d) Repealed 5/7/2009.
(e) Repealed 2/22/2015.
(f) In an appeal of a denial of loan
eligibility under
AS 14.43.172(c)(5) or
(6), the appellant may request that evidence
of prior credit performance, in addition to that considered under this section,
be considered to mitigate the findings of the review of the applicant's credit
history. The appellant must be able to show that extraordinary circumstances
beyond the applicant's control led to the adverse credit history and that the
applicant made good faith efforts to pay the past debt, or that the credit
history does not accurately reflect the appellant's ability or willingness to
pay debts as they become due. If the appellant bases the appeal on the showing
of extraordinary circumstances that led to the adverse credit history, the
appellant has the burden to show that a good credit history existed before the
extraordinary circumstances.
(g)
For purposes of
AS
14.43.172(e), an endorser's
bankruptcy may be considered adverse credit.
(h) For the purposes of
AS
14.43.172(c)(4), it is
presumed that a person cannot repay a loan as it becomes due, and may only
obtain a loan in compliance with
AS
14.43.172(e), if the person
(1) is incarcerated at the time funds are
disbursed or delivered; or
(2) is
permanently disabled to an extent that the person will not be able to receive
income in an amount that would allow repayment of the loan, and there is no
reasonable medical possibility that the condition of permanent disability will
improve before the loan enters repayment.
(i) In an appeal of a denial of loan
eligibility under
AS
14.43.172(b), the appellant
may provide evidence that demonstrates that an absence from this state in
excess of the period allowable under applicable state law was not inconsistent
with an intent to return and indefinitely reside in this state.
Notes
As of Register 172 (January 2005), and acting under AS 44.62.125(b)(6) and sec. 34, ch. 63, SLA 2004, the regulations attorney made technical changes to reflect the name change of the Alaska advantage loan program to the Alaska Advantage loan program made by secs. 10, 13, and 28, ch. 63, SLA 2004.
Authority: AS 14.42.030
AS 14.43.172
The following state regulations pages link to this page.
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.