1. (a) Eligibility. At the end of the month, VA shall pay to an eligible veteran enrolled in a rehabilitation program, subsistence allowance at the rates specified in § 21.260 for the type of program pursued during the month, unless advance payment is approved. VA will continue payments during those intervals described in § 21.270.

   (Authority: 38 U.S.C. 3108)

2. (b) Advance payment criteria. VA will make an advance payment of subsistence allowance only when:

   1. (1) The veteran specifically requests an advance payment; and

   2. (2) The educational institution at which the veteran is accepted or enrolled has agreed to, and can carry out, satisfactorily, the provisions of 38 U.S.C. 3680(d) (4) and (5) pertaining to:

      1. (i) Receipt, delivery or return of advance checks; and
      2. (ii) Certifications of delivery and enrollment.

3. (c) Advance payment.

   1. (1) The amount of advance payment is not to exceed:

      1. (i) The veteran's subsistence allowance for the month or part of a month in which his or her course will begin; plus
      2. (ii) The veteran's subsistence allowance for the following month.
   2. (2) Upon application and completion of arrangements for enrollment of a veteran who meets the criteria for an advance payment, VA shall mail a check payable to the veteran to the institution for delivery to the veteran upon registration.
   3. (3) An institution shall not deliver an advance payment check to a veteran more than 30 days in advance of commencement of his or her program.

4. (d) Certification for advance payment. VA will authorize advance payment upon receipt of the institution's certification of the following information:

   1. (1) The veteran is eligible for benefits;
   2. (2) The institution has accepted the veteran or he or she is eligible to continue his or her training;
   3. (3) The veteran has notified the institution of his or her intention to attend or to reenroll;
   4. (4) The number of semester or clock hours the veteran will pursue; and
   5. (5) The beginning and ending dates of the enrollment period.

5. (e) Time of advance payment. VA will authorize advance payment only:

   1. (1) At the beginning of an ordinary school year; or

   2. (2) At the beginning of any other enrollment period which begins after a break in enrollment of one full calendar month or longer.

      (Authority: 38 U.S.C. 3680(d))

6. (f) Other payments.

   1. (1) VA will make all payments other than advance payments at the end of the month for the veteran's training during that month.

   2. (2) VA may withhold final payment until:

      1. (i) VA receives certification that the veteran has completed his or her course; and

      2. (ii) VA makes all necessary adjustments in the veteran's award resulting from that certification.

         (Authority: 38 U.S.C. 3680(g))

7. (g) Payments for courses which are repeated. VA may pay subsistence allowance to a veteran who repeats a course under conditions described in § 21.132.

   (Authority: 38 U.S.C. 3680(a))

[49 FR 40814, Oct. 18, 1984; 50 FR 9622, Mar. 11, 1985]