Repayment Alignment

    Based on a strict interpretation of regulatory requirements, it has been the policy of the Utah Higher Education Assistance Authority (UHEAA) to allow an administrative forbearance to align repayment of loans only when the borrower has a SLS loan.  However, UHEAA has recently been advised of new guidance on this issue from the Department of Education which allows the use of an administrative forbearance to align repayment in cases where the borrower has, or does not have, outstanding SLS loans.

    Based on this new guidance, effective for claims submitted or resubmitted on or after July 1, 2001, UHEAA will allow an administrative forbearance to be used for repayment alignment of loans where a borrower has, or does not have, outstanding SLS loans. This will apply to loans made with a Common Application and Promissory Note or a Master Promissory Note. The time from the date the claim was originally rejected (based on the previous repayment alignment policy) to the date of this Bulletin will be excluded for purposes of timely filing calculation.  Such a claim will be considered to have been under appeal to ED during that time.

    Questions concerning repayment alignment can be directed to the UHEAA Policy and Training Department at (801) 321-7166 or by e-mail to cjudd@utahsbr.edu.