20 AAC 15.735 - Conditions and limitations on loans
(a) A loan award
will be based upon computation of allowable costs of attendance, and may not
exceed a borrower's estimated cost of attendance less other forms of financial
aid awarded to the borrower to pay for these costs for the period of enrollment
for which the loan is intended. The authorized loan award for a student
enrolled for less than a full academic year will be determined on a pro rata
basis so that an otherwise eligible student attending
(1) one-third of the academic year is
eligible for one-third of the annual loan maximum;
(2) one-half of the academic year is eligible
for one-half of the annual loan maximum; or
(3) two-thirds of the academic year is
eligible for two-thirds of the annual loan maximum.
(b) Repealed 9/4/2014.
(c) Repealed 9/4/2014.
(d) For the purposes of determining the total
of loans awarded to a borrower under
AS
14.43.173(b), loans made
(1) under
AS
14.43.091-14.43.160 (Alaska Education Loan
Program), AS
14.43.250-14.43.325 (Memorial Education
Loans), and
AS
14.43.600-14.43.700 (Teacher Education Loan
Program) will be included; and
(2)
for the borrower to attend career education programs are subject to the
aggregate maximum borrowing limit for undergraduate enrollment.
(e) Repealed 9/4/2014.
(f) An ASEL will not be awarded for
(1) an elementary or secondary educational
program;
(2) an educational program
that is avocational or recreational in nature; or
(3) a program of study offered outside the
state in which the institution is located, unless the program's location is
based upon, and serves, a bona fide educational purpose.
(g) An ASEL will not be awarded for flight
instruction
(1) leading to certification as a
private pilot;
(2) unless the
student has received a private pilot's certificate at the time of application
for the loan;
(3) for type rating
or other proficiencies, unless the student has received a commercial license at
the time of application for the loan;
(4) for more than the total of the annual
loan maximum under
AS
14.43.173(a)(3) for any
single certification or flight rating; or
(5) that is offered through a flight-training
course other than one certified under 14 C.F.R. Part 141 or Part 142.
(h) Only one loan will be awarded
to a student to attend a non-flight career education program that is 12 months
or less in duration and that awards a single certificate or degree.
(i) Within 30 days after the change, a
borrower or endorser, if any, shall report in writing to the commission any
change that affects the conditions of a loan or the loan's repayment schedule,
including any change of the borrower's or endorser's name or address, the
borrower's state residency status, or the student's change of institution,
change in dates of attendance, change in attendance to less than at least
half-time status, change in enrollment status, or withdrawal or dismissal from
the course of study for which the loan was awarded.
(j) If the student changes institutions after
the loan was disbursed, the borrower shall submit a revised application
form.
(k) During the period that a
student fails to meet any of the eligibility requirements applicable to the
ASEL, the student is not eligible to receive a loan disbursement.
(l) A student may be enrolled in more than
one institution, but must be admitted into a degree or certificate program at
one of the institutions of enrollment. The total of the student's
degree-applicable credits must be equivalent to at least half-time student
enrollment. The degree-granting institution must be able to certify that the
student is enrolled on at least a halftime basis and that the number of
degree-applicable credits for which the borrower is enrolled is equivalent to
at least half-time enrollment.
(m)
In order to receive a new loan, an otherwise eligible applicant must be current
in repayment on any prior loans received from the commission at the time of
filing the application.
(n) A
student enrolled in a flight school program must log a minimum of 17 hours per
month, or 51 hours for a three-month period. The required number of logged
hours will be reduced if the student provides documentation that adverse
weather conditions prevented logging the required number of hours.
(o) For purposes of this section, allowable
costs of attendance are
(1) tuition and
required fees;
(2) required books,
supplies, and equipment;
(3)
transportation;
(4) room and board;
and
(5) an allowance for personal
expenses as provided in the institution's budget.
(p) Borrowing under the Alaska supplemental
education loan program is subject to annual and aggregate limits under
14.43.173(a) and (b).
(q) A
borrower who receives a loan under the Alaska supplement education loan program
and borrowed up to the aggregrate limit established by the cooperation under
AS
14.43.173(b) may receive an
additional ASEL if the current principal balanced owed by the borrower,
including the new loan amount, does not exceed the aggregrate limit.
Notes
Authority: AS 14.42.030
AS 14.43.164
AS 14.43.171
AS 14.43.172
AS 14.43.173
AS 14.43.175
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