1. (a) When any borrower or cosigner fails or refuses to make as many as six monthly payments due in accordance with an executed promissory note for a student loan originated by the Coordinating Board, the full amount of remaining principal, accrued interest, and other charges shall become due and payable immediately.
2. (b) When any borrower or cosigner fails or refuses to make as many as six payments due in accordance with an executed note for a student loan originated by the Coordinating Board, the loan will be considered in default, and the Coordinating Board must report this information to the Office of Attorney General, which then may file suit for the outstanding balance.
3. (c) Collection Charges. In the case of accounts with multiple payments due, the Coordinating Board may authorize the assessment of charges necessary to collect the loan which may include court costs fees, attorney fees, skip-trace fees, and long-distance telephone charges.
4. (d) Cosigner Responsibilities. Loan cosigners are guarantors of payment and not of collection; it is not necessary for the Coordinating Board to demonstrate that the borrower is insolvent before it may pursue collection against the cosigner.
5. (e) For the purposes of any promissory note executed by a borrower, the defense that he or she was a minor at the time he or she executed a note shall not be available to him or her in any action arising on the note.

Source Note:The provisions of this §24.16 adopted to be effective November 13, 2025, 50 TexReg 7276.