1. (a) In the event a recipient of an education loan provided under AS 14.43 becomes eligible for a total or partial refund of $50 or more, the institution shall, within 30 days of the date that the student becomes eligible for the refund, make any refund in excess of any required refund under 20 U.S.C. 1070 - 1100 to the commission, up to the full amount of the borrower's loan indebtedness to the commission.
2. (b) An institution must have a written policy for refunding tuition, fees, and other charges if a student withdraws or otherwise fails to complete the program of study.
3. (c) A refund due to the commission under (a) of this section or due to the commission as the result of an award exceeding allowable costs per AS 14.43.120(a) that totals less than $50 may be disbursed to the student.
4. (d) In the event and to the extent that an institution is required to reimburse to the commission an amount the institution disbursed in error to a borrower and the institution has not been reimbursed by the borrower, the commission will, upon request of the institution, assign to the institution its rights to collection of that amount.

(Eff. 4/20/2000, Register 154; am 1/30/2003, Register 165)

Authority: AS 14.43.105, AS 14.43.305, AS 14.43.730, AS 14.43.120, AS 14.43.320, AS 14.43.740, AS 14.43.125, AS 14.43.630, AS 14.43.920, AS 14.43.300, AS 14.43.640