Section 13.07. Terms of repayment.

 

(1)  The borrower shall repay the loan if not employed as a full-time teacher in the eligible school district. Repayment shall be required of borrowers who are employed for periods of time but who do not complete their forgiveness within the time allowed.

(2)  The minimum monthly payment shall be $50 including principal and accrued interest. Accrued interest shall be paid first each month from the payment received. The board shall determine the monthly repayment schedule, although the borrower may request a schedule with a higher monthly payment.

(3)  The borrower shall repay the loan within a maximum of 6 years not counting periods of deferment granted by the board. Interest shall not accrue during periods of deferment authorized by the board.

(4)  The borrower may prepay any or all of the loan without penalty whether the borrower is in school, forgiveness, repayment, or deferment.

(5)  If the borrower dies or becomes totally and permanently disabled, all obligation to make any further payment of principal and interest on the loan shall be canceled.

History: CR 01-078 : Cr. Register January 2002 No. 553 , eff. 2-1-02.