New Mexico Administrative Code
Title 5 - POST-SECONDARY EDUCATION
Chapter 7 - TUITION AND FINANCIAL AID
Part 24 - EDUCATIONAL LOAN PURCHASE PROGRAM REGULATIONS
Section 5.7.24.12 - INFORMATION TO BE PROVIDED BY LENDERS TO ELIGIBLE BORROWERS
Universal Citation: 5 NM Admin Code 5.7.24.12
Current through Register Vol. 35, No. 6, March 26, 2024
A. At the time a lender makes an eligible loan to an eligible borrower the lender shall provide thorough and accurate loan information to the eligible borrower as required by the Higher Education Act and the guarantee corporation, which shall include:
(1) the yearly and cumulative maximum amounts
that may be borrowed by an eligible borrower;
(2) the terms on which repayment will
begin;
(3) the maximum number of
years in which the eligible loan must be repaid;
(4) the interest rate that will be repaid,
and the maximum amount of required monthly payments;
(5) any special options that an eligible
borrower may have for deferral, cancellation, prepayment, consolidation, or
other refinancing of the eligible loan;
(6) a definition of default and the
consequences to the eligible borrower if the eligible borrower should default,
including a description of any arrangement made with credit bureau
organizations; and
(7) to the
extent practicable, the effect of accepting the eligible loan on the
eligibility of the eligible borrower for other forms of student
assistance.
B. The foundation may refuse to purchase eligible loans not made in accordance with this requirement.
Disclaimer: These regulations may not be the most recent version. New Mexico may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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