[Code of Federal Regulations]

[Title 34, Volume 3]

[Revised as of July 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 34CFR674.40]



[Page 587]

 

                           TITLE 34--EDUCATION

 

 CHAPTER VI--OFFICE OF POSTSECONDARY EDUCATION, DEPARTMENT OF EDUCATION

 

PART 674_FEDERAL PERKINS LOAN PROGRAM--Table of Contents

 

                        Subpart B_Terms of Loans

 

Sec. 674.40  Treatment of loan repayments where cancellation, loan 

repayments, and minimum monthly repayments apply.



    (a) An institution may not exercise the minimum monthly repayment 

provisions on a note when the borrower has received a partial 

cancellation for the period covered by a postponement.

    (b) If a borrower has received Defense, NDSL, and Perkins loans and 

only one can be cancelled, the amount due on the uncancelled loan is the 

amount established in Sec. 674.31(b) (2), loan repayment terms; Sec. 

674.33(b), minimum repayment rates; or Sec. 674.33(c), extension of 

repayment period.



(Authority: 20 U.S.C. 425 and 1087dd, 1087ee)



[52 FR 45754, Dec. 1, 1987. Redesignated at 59 FR 61410, Nov. 30, 1994]