SECTION 22.93. Loan Interest

(a) Interest rates. The interest rate to be charged for any student loan shall be 6.0% per annum on all loans made under the Hinson-Hazlewood College Student Loan Act on or before August 31, 1969, and the interest rate to be charged for any student loan made on or after September 1, 1969, shall be 7.0% per annum, and such interest shall accrue from the date of the note evidencing the loan is executed. Except for loans subject to the interest subsidy provisions of the Higher Education Act of 1965, Title IV, Part B, §428(a), as amended, and 45 Code of Federal Regulations Part 177, payment of interest by an undergraduate student shall be postponed so long as such student is enrolled in an institution of higher education for at least one-half of the normal course load, as determined by the institution, and payment of interest by a graduate or professional student shall be postponed so long as such student is enrolled in an institution of higher education and is making satisfactory progress toward the completion of his program, provided that such interest shall accrue from the date of the note evidencing the loan is executed.

(b) Federal interest benefits. Loans made pursuant to this subchapter are eligible for interest subsidy to be paid in accordance with Public Law 89-329, the Higher Education Act of 1965, and 45 Code of Federal Regulations Part 177. Students desiring these benefits shall complete forms required by the United States Office of Education and submit such forms to the Hinson-Hazlewood College Student Loan Program officer at the institution at which the loan is made. Students who do not desire to use these benefits shall waive these benefits in writing. Students who do not meet the qualifications as set forth in 45 Code of Federal Regulations Part 177 will be notified by the Hinson-Hazlewood College Student Loan Program officer.

Source Note: The provisions of this §22.93 adopted to be effective January 1, 1976; transferred effective June 1, 2017, as published in the Texas Register May 19, 2017, 42 TexReg 2739