[Code of Federal Regulations]

[Title 42, Volume 1]

[Revised as of October 1, 2005]

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

[CITE: 42CFR57.314]



[Page 288]

 

                         TITLE 42--PUBLIC HEALTH

 

    CHAPTER I--PUBLIC HEALTH SERVICE, DEPARTMENT OF HEALTH AND HUMAN 

                                SERVICES

 

PART 57_GRANTS FOR CONSTRUCTION OF TEACHING FACILITIES, EDUCATIONAL 

IMPROVEMENTS, SCHOLARSHIPS AND STUDENT LOANS--Table of Contents

 

                     Subpart D_Nursing Student Loans

 

Sec. 57.314  Repayment of loans made after November 17, 1971, for failure 

to complete a program of study. \2\



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    \2\ Effective November 26, 1984, the Secretary stopped accepting 

applications under Sec. 57.314 because Federal funds are not available 

for this provision.

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    In the event that the Secretary undertakes to repay educational 

loans under section 836(i) of the Act, he or she will use the following 

criteria to make a determination as to each applicant's eligibility:

    (a) An applicant will be considered to have failed to complete the 

course of study in nursing for which an eligible education loan was made 

upon certification by a school of nursing that the individual ceased to 

be enrolled in the school subsequent to November 17, 1971;

    (b) An applicant will be considered to be in exceptionally needy 

circumstances if, upon comparison of the income and other financial 

resources of the applicant with his or her expenses and financial 

obligations, the Secretary determines that repayment of the loan would 

constitute a serious economic burden on the applicant. In making this 

determination, the Secretary will take into consideration the 

applicant's net financial assets, his or her potential earning capacity, 

and the relationship of the income available to the applicant to the 

low-income levels published annually by the Secretary in the Federal 

Register;

    (c) An applicant will be considered as not having resumed his or her 

nursing studies within 2 years following the date the individual ceased 

to be a student upon certification so stating from the applicant; and

    (d) An applicant will be considered as not reasonably expected to 

resume his or her nursing studies within 2 years following the date upon 

which he or she terminated these studies, based upon consideration of 

the reasons for the applicant's failure to complete these studies, 

taking into account such factors as academic, medical, or financial 

difficulties. The Secretary will only repay education loans made after 

November 17, 1971.



[50 FR 34434, Aug. 23, 1985, as amended at 56 FR 13772, Apr. 4, 1991; 57 

FR 45735, Oct. 5, 1992; 61 FR 6123, Feb. 16, 1996]