Every month, HESC’s “Question and Answer” Web feature includes an interesting question presented to the Office of Counsel and Regulatory Compliance staff.

This month’s winning question:

A student has a valid MPN on file. Must the school certify a loan before the end of the loan period in order for a student to be eligible for a late disbursement? Where can a school find this information?

Yes. Section 6.15 of the Common Manual, School Certification of a Loan, states: “A school must certify the borrower’s loan eligibility by the end of the loan period or the date on which the student ceases to be enrolled at least half time, whichever is earlier. If the school does not certify the loan by the earlier of these two dates, the loan cannot be disbursed”.

Also, see federal regulations sections 668.164(g)(2)(ii)(A); 682.207(f).

Direct questions regarding this guidance to the Office of Counsel and Regulatory Compliance at 518- 473-3986; or toll-free at 1-866-431-HESC (1-866-431-4372), press 6; or via email at askpolicy@hesc.org.