Common Manual Interim Policy Updates

As you are aware, the Common Manual Governing Board periodically approves modifications to the Common Manual.  Recently, several policies were approved to modify the Common Manual. These changes will be incorporated into the Common Manual when the next annual update is published.

Attached are interim updates to the Common Manual which address additional Common Manual policy revisions approved on December 17, 1998. Pay particular attention to the effective dates for these interim policy updates.

Any questions related to the attached Common Manual interim policy updates should be directed to the Policy and Training Department at (801) 321-7166.

Attached
 

Chapter 5 - Borrower Eligibility and Loan Certification

5.2.A. BORROWER AND STUDENT ELIGIBILITY REQUIREMENTS

Clarification of Borrower Eligibility Criteria
If a borrower inadvertently exceeds an annual or aggregate loan limit, the borrower may regain eligibility by repaying the excess funds in full, making satisfactory repayment arrangements with the lender, authorizing the school to adjust the excess loan amount, or authorizing the school to reallocate funds between a subsidized Stafford loan and an unsubsidized Stafford loan for which the borrower is eligible.  Borrowers who exceed the annual or aggregate loan limit as a result of providing false or misleading information must repay such loans in full to regain Title IV eligibility.

Subsections 5.2.A., 5.2.E., 5.7, 8.9, CCI  8.9, 8.10, CCI 8.10, and 9.2 of the Common Manual have been revised to clarify borrower eligibility criteria and to detail what a borrower must do to regain eligibility when the borrower has received funds for which he or she was ineligible. These revisions are effective for loan applications certified by the school (or in the case of a Consolidation loan application, received by the lender) on or after April 1, 1999, unless implemented earlier by the guarantor.

5.2.E. EFFECT OF BANKRUPTCY ON ELIGIBILITY

Clarification of Borrower Eligibility Criteria
For changes to Section 5.2.E., please see Section 5.2.A.

5.7. LOAN LIMITS AND AMOUNTS

Clarification of Borrower Eligibility Criteria
For changes to Section 5.7., please see Section 5.2.A.

8.9. REINSTATEMENT OF BORROWER ELIGIBILITY AFTER A DEFAULT CLAIM IS PURCHASED

Clarification of Borrower Eligibility Criteria
For changes to Section 8.9., please see Section 5.2.A.

8.10. REHABILITATION OF DEFAULTED LOANS

Clarification of Borrower Eligibility Criteria
For changes to Section 8.10., please see Section 5.2.A.

CCI 8.9. REINSTATEMENT OF BORROWER ELIGIBILITY AFTER A DEFAULT CLAIM IS PURCHASED

Clarification of Borrower Eligibility Criteria
For changes to Section CCI 8.9., please see Section 5.2.A.

CCI 8.10. REHABILITATION OF DEFAULTED LOANS

Clarification of Borrower Eligibility Criteria
For changes to Section CCI 8.10., please see Section 5.2.A.

9.2. BORROWER ELIGIBILITY

Consolidation Eligibility
Section 9.2 of the Common Manual has been revised to clarify that, in order to be eligible to receive a Consolidation loan, a borrower must meet applicable eligibility criteria at the time he or she applies for the loan.

This clarification is effective retroactively to the implementation of the Common Manual.

Clarification of Borrower Eligibility Criteria
For changes to Section 9.2., please see Section 5.2.A.