39.32 Student loans.

614 words·~3 min read·/wi/chapter-39/39-32-3

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)In this section:

(a)“Institution of higher education” means an educational institution meeting the requirements of P.L. 89-329 for institutions covered therein and of P.L. 89-287 for business, trade, technical or vocational schools and full-time post-high school technical colleges in this state.

(b)“Resident student” shall be determined under s. 36.27 , so far as applicable.

(2)The board shall:

(a)Make and authorize loans to be made to resident students who have satisfactory academic records, who need financial assistance and who are desirous of attending institutions of higher education, when such loans are to assist them in meeting expenses of post-high school education in accordance with this section.

(b)Establish standards and methods for determining the amount of loans, rates of interest, financial need and other administrative procedures consistent with P.L. 89-329 and P.L. 89-287 .

(3)The board may make and authorize loans to be made to students if:

(a)The student is enrolled or accepted for enrollment in an institution of higher education.

(b)The student’s eligibility for a loan is certified to the board by the institution of higher education in which the student is enrolled or has been accepted for enrollment.

(c)The student has a satisfactory academic record.

(d)The student is a resident student.

(e)The student needs financial assistance.

(g)The student is not in default on any previous loan or the board has determined that the student has made satisfactory arrangements to repay the defaulted loan.

(4)Loans may be made to minors and minority shall not be a defense to the collection of the debt.

(5)The board may collect any loans made or authorized to be made by the board pursuant to this section or made prior to July 1, 1966, under s. 49.42 , 1963 stats.

(6)The board shall satisfy the loan of any student who obtained a loan under this section or under s. 39.023 , 1965 stats., between July 1, 1966, and December 15, 1968, if the student dies after July 1, 1966, and before completing repayment of the loan, and shall write off the balance of principal and interest owing on the loan on the date that the board received confirmation of the student’s death. Obligation to repay such a loan shall terminate on the date of the student’s death and any payments made on the loan to the board after the date of the student’s death shall be refunded to the payor or the payor’s heirs or personal representative upon receipt by the board of an application for refund.

(7)The board may write off defaulted student loans made pursuant to this section or made prior to July 1, 1966, under s. 49.42 , 1963 stats., from moneys other than advances from the investment board originally appropriated for student loans, and from moneys other than moneys resulting from assignment, sale or conveyance of student loans.

(8)The board may use up to $150,000 annually of student revenue bond proceeds for the purpose of consolidating loans for needy students who have a state direct loan and one or more federally guaranteed student loans from one or more private lenders.

(a)The board may enter into contractual agreements with lenders in this state and lenders in other states which grant loans to residents of this state, and with institutions and agencies wherein the board may provide and furnish to such lenders, institutions and agencies administrative services related to the operation of any programs involving the granting of loans to students including but not limited to any and all services and functions related to the granting, administering and collecting of any loans made to students.