What steps are necessary to use an education award to repay a qualified student loan?

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§ 2528.20 What steps are necessary to use an education award to repay a qualified student loan?

(a) Required information. Before disbursing an amount from an education award to repay a qualified student loan, the Corporation must receive -

(1) An individual's written authorization and request for a specific payment amount;

(2) Identifying and other information from the holder of the loan as requested by the Corporation and necessary to ensure compliance with this part.

(b) Payment. When the Corporation receives the information required under paragraph (a) of this section, the Corporation will pay the holder of the loan and notify the individual of the payment.

(c) Aggregate payments. The Corporation may establish procedures to aggregate payments to holders of loans for more than a single individual.


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