Missouri Revised Statutes
Chapter 30
State Treasurer
←30.753
Section 30.756.1
30.758→
August 28, 2015
Lending institution receiving linked deposits, requirements and limitations--false statements as to use for loan, penalty--eligible student borrowers--eligibility, student renewal loans, repayment method--priority for reduced-rate loans.
30.756. 1. An eligible lending institution that desires to receive a
linked deposit shall accept and review applications for linked deposit loans
from eligible multitenant enterprises, eligible farming operations, eligible
alternative energy consumers, eligible alternative energy operations,
eligible locally owned businesses, eligible small businesses, eligible job
enhancement businesses, eligible marketing enterprises, eligible
agribusinesses, eligible beginning farmers, eligible livestock operations,
eligible residential property developers, eligible residential property
owners, eligible governmental entities, eligible student borrowers, eligible
facility borrowers, and eligible water supply systems. An eligible
residential property owner shall certify on his or her loan application that
the reduced rate loan will be used exclusively to purchase, develop or
rehabilitate a multifamily residential property. The lending institution
shall apply all usual lending standards to determine the creditworthiness of
each eligible multitenant enterprise, eligible farming operation, eligible
alternative energy operation, eligible alternative energy consumer, eligible
locally owned business, eligible small business, eligible job enhancement
business, eligible marketing enterprise, eligible residential property
developer, eligible residential property owner, eligible governmental
entities, eligible agribusiness, eligible beginning farmer, eligible livestock
operation, eligible student borrower, eligible facility borrower, or eligible
water supply system. No linked deposit loan made to any eligible multitenant
development enterprise, eligible farming operation, eligible alternative
energy operation, eligible alternative energy consumer, eligible locally
owned business, eligible livestock operation, eligible agribusiness, eligible
beginning farmer, eligible job enhancement business, eligible marketing
enterprise, eligible residential property developer, eligible residential
property owner, eligible governmental entity, eligible student borrower,
eligible water supply system, or eligible small business shall exceed a
dollar limit determined by the state treasurer in the state treasurer's best
judgment, except as otherwise limited. Any link deposit loan made to an
eligible facility borrower shall be in accordance with the loan amount and
loan term requirements in section 30.860.
2. An eligible farming operation, small business or job enhancement
business shall certify on its loan application that the reduced rate loan
will be used exclusively for necessary production expenses or the expenses
listed in subsection 2 of section 30.753 or the refinancing of an existing
loan for production expenses or the expenses listed in subsection 2 of
section 30.753 of an eligible farming operation, small business or job
enhancement business. Whoever knowingly makes a false statement concerning
such application is guilty of a class A misdemeanor. An eligible water supply
system shall certify on its loan application that the reduced rate loan shall
be used exclusively to pay the costs of upgrading or repairing an existing
water system, constructing a new water system, or making other capital
improvements to a water system which are necessary to improve the service
capacity of the system.
3. In considering which eligible farming operations should receive
reduced-rate loans, the eligible lending institution shall give priority to
those farming operations which have suffered reduced yields due to drought or
other natural disasters and for which the receipt of a reduced-rate loan will
make a significant contribution to the continued operation of the recipient
farming operation.
4. The eligible financial institution shall forward to the state
treasurer a linked deposit loan package, in the form and manner as prescribed
by the state treasurer. The package shall include such information as
required by the state treasurer, including the amount of each loan requested.
The institution shall certify that each applicant is an eligible multitenant
development enterprise, eligible farming operation, eligible alternative
energy operation, eligible alternative energy consumer, eligible locally
owned business, eligible small business, eligible job enhancement business,
eligible marketing enterprise, eligible residential property developer,
eligible residential property owner, eligible governmental entity, eligible
agribusiness, eligible beginning farmer, eligible livestock operation,
eligible student borrower, eligible facility borrower, or eligible water
supply system, and shall, for each eligible multitenant development
enterprise, eligible farming operation, eligible alternative energy
operation, eligible alternative energy consumer, eligible small business,
eligible job enhancement business, eligible marketing enterprise, eligible
residential property developer, eligible residential property owner, eligible
governmental entity, eligible agribusiness, eligible beginning farmer,
eligible livestock operation, eligible student borrower, eligible facility
borrower, or eligible water supply system, certify the present borrowing rate
applicable.
5. The eligible lending institution shall be responsible for determining
if a student borrower is an eligible student borrower. A student borrower
shall be eligible for an initial or renewal reduced-rate loan only if, at the
time of the application for the loan, the student is a citizen or permanent
resident of the United States, a resident of the state of Missouri as defined
by the coordinating board for higher education, is enrolled or has been
accepted for enrollment in an eligible higher education institution, and
establishes that the student has financial need. In considering which
eligible student borrowers may receive reduced-rate loans, the eligible
lending institution may give priority to those eligible student borrowers
whose income, or whose family income, if the eligible student borrower is a
dependent, is such that the eligible student borrower does not qualify for
need-based student financial aid pursuant to 20 U.S.C. 1078, as amended (the
Higher Education Amendments of 1986). The eligible lending institution shall
require the eligible student borrower to document that the student has
applied for and has obtained all need-based student financial aid for which
the student is eligible prior to application for a reduced-rate loan pursuant
to this section. In no case shall the combination of all financial aid
awarded to any student in any particular enrollment period exceed the total
cost of attendance at the institution in which the student is enrolled. No
eligible lending institution shall charge any additional fees, including but
not limited to an origination, service or insurance fee on any loan agreement
under the provisions of sections 30.750 to 30.765.
6. The eligible lending institution making an initial loan to an eligible
student borrower may make a renewal loan or loans to the student. The total
of such reduced-rate loans from eligible lending institutions made pursuant
to this section to any individual student shall not exceed the cumulative
totals established by 20 U.S.C. 1078, as amended. An eligible student
borrower shall certify on his or her loan application that the reduced-rate
loan shall be used exclusively to pay the costs of tuition, incidental fees,
books and academic supplies, room and board and other fees directly related
to enrollment in an eligible higher education institution. The eligible
lending institution shall make the loan payable to the eligible student
borrower and the eligible higher education institution as co-payees. The
method of repayment of the loan shall be the same as for repayment of loans
made pursuant to sections 173.095 to 173.186.
7. Beginning August 28, 2005, in considering which eligible multitenant
enterprise, eligible farming operation, eligible alternative energy
operation, eligible alternative energy consumer, eligible locally owned
business, eligible small business, eligible job enhancement business, eligible
marketing enterprise, eligible residential property developer, eligible
residential property owner, eligible governmental entity, eligible
agribusiness, eligible beginning farmer, eligible livestock operation,
eligible student borrower, eligible facility borrower, or eligible water
supply system should receive reduced-rate loans, the eligible lending
institution shall give priority to an eligible multitenant enterprise,
eligible farming operation, eligible alternative energy operation, eligible
alternative energy consumer, eligible locally owned business, eligible small
business, eligible job enhancement business, eligible marketing enterprise,
eligible residential property developer, eligible residential property owner,
eligible governmental entity, eligible agribusiness, eligible beginning
farmer, eligible livestock operation, eligible student borrower, eligible
facility borrower, or eligible water supply system that has not previously
received a reduced-rate loan through the linked deposit program. However,
nothing shall prohibit an eligible lending institution from making a
reduced-rate loan to any entity that previously has received such a loan, if
such entity otherwise qualifies for such a reduced-rate loan.
(L. 1986 H.B. 1107 § 3, A.L. 1987 H.B. 294, A.L. 1988 H.B. 1260, A.L.
1989 S.B. 444, A.L. 1991 H.B. 51, et al., A.L. 1993 H.B. 566,
A.L. 1994 H.B. 1248 & 1048 merged with H.B. 1681, A.L. 1997 H.B.
H.B. 557, A.L. 2004 S.B. 1155, A.L. 2005 S.B. 270, A.L. 2007 H.B.
741, A.L. 2008 S.B. 1181, et al., A.L. 2009 H.B. 883)
2008
2007
2005
2004
1997
2008
30.756. 1. An eligible lending institution that desires to
receive a linked deposit shall accept and review applications
for linked deposit loans from eligible farming operations,
eligible small businesses, eligible job enhancement businesses,
and eligible water supply systems. The lending institution
shall apply all usual lending standards to determine the credit
worthiness of each eligible farming operation, eligible small
business, eligible job enhancement business, or eligible water
supply system. No linked deposit loan made to any eligible
farming operation or eligible small business shall exceed fifty
thousand dollars and no service of separate loans may be made
which exceeds such limit to any single eligible farming
operation or eligible small business.
2. An eligible farming operation, small business or job
enhancement business shall certify on its loan application that
the reduced rate loan will be used exclusively for necessary
production expenses or the expenses listed in subsection 2 of
section 30.753 or the refinancing of an existing loan for
production expenses or the expenses listed in subsection 2 of
section 30.753 of an eligible farming operation, small business
or job enhancement business. Whoever knowingly makes a false
statement concerning such application is guilty of a class A
misdemeanor. An eligible water supply system shall certify on
its loan application that the reduced rate loan shall be used
exclusively to pay the costs of upgrading or repairing an
existing water system, constructing a new water system, or
making other capital improvements to a water system which are
necessary to improve the service capacity of the system.
3. In considering which eligible farming operations should
receive reduced rate loans, the eligible lending institution
shall give priority to those farming operations which have
suffered reduced yields due to drought or other natural
disasters and for which the receipt of a reduced rate loan will
make a significant contribution to the continued operation of
the recipient farming operation.
4. The eligible financial institution shall forward to the
state treasurer a linked deposit loan package, in the form and
manner as prescribed by the state treasurer. The package shall
include such information as required by the state treasurer,
deposit agreement provided in sections 30.750 to 30.765, to
shall certify that each applicant is an eligible farming
operation, eligible small business, eligible job enhancement
business, or eligible water supply system, and shall, for each
eligible farming operation, small business, eligible job
enhancement business, or eligible water supply system, certify
the present borrowing rate applicable.
2007
30.756. 1. An eligible lending institution that desires to
receive a linked deposit shall accept and review applications
for linked deposit loans from eligible farming operations,
eligible small businesses, eligible job enhancement businesses,
and eligible water supply systems. The lending institution
shall apply all usual lending standards to determine the credit
worthiness of each eligible farming operation, eligible small
business, eligible job enhancement business, or eligible water
supply system. No linked deposit loan made to any eligible
farming operation or eligible small business shall exceed fifty
thousand dollars and no service of separate loans may be made
which exceeds such limit to any single eligible farming
operation or eligible small business.
2. An eligible farming operation, small business or job
enhancement business shall certify on its loan application that
the reduced rate loan will be used exclusively for necessary
production expenses or the expenses listed in subsection 2 of
section 30.753 or the refinancing of an existing loan for
production expenses or the expenses listed in subsection 2 of
section 30.753 of an eligible farming operation, small business
or job enhancement business. Whoever knowingly makes a false
statement concerning such application is guilty of a class A
misdemeanor. An eligible water supply system shall certify on
its loan application that the reduced rate loan shall be used
exclusively to pay the costs of upgrading or repairing an
existing water system, constructing a new water system, or
making other capital improvements to a water system which are
necessary to improve the service capacity of the system.
3. In considering which eligible farming operations should
receive reduced rate loans, the eligible lending institution
shall give priority to those farming operations which have
suffered reduced yields due to drought or other natural
disasters and for which the receipt of a reduced rate loan will
make a significant contribution to the continued operation of
the recipient farming operation.
4. The eligible financial institution shall forward to the
state treasurer a linked deposit loan package, in the form and
manner as prescribed by the state treasurer. The package shall
include such information as required by the state treasurer,
deposit agreement provided in sections 30.750 to 30.765, to
shall certify that each applicant is an eligible farming
operation, eligible small business, eligible job enhancement
business, or eligible water supply system, and shall, for each
eligible farming operation, small business, eligible job
enhancement business, or eligible water supply system, certify
the present borrowing rate applicable.
2005
30.756. 1. An eligible lending institution that desires to receive a
linked deposit shall accept and review applications for linked deposit loans
from eligible multitenant enterprises, eligible farming operations, eligible
small businesses, eligible job enhancement businesses, eligible marketing
enterprises, eligible agribusinesses, eligible beginning farmers, eligible
livestock operations, eligible residential property developers, eligible
residential property owners, eligible student borrowers, eligible facility
borrowers, and eligible water supply systems. An eligible residential
property owner shall certify on his or her loan application that the reduced
rate loan will be used exclusively to purchase, develop or rehabilitate a
multifamily residential property. The lending institution shall apply all
usual lending standards to determine the credit worthiness of each eligible
multitenant enterprise, eligible farming operation, eligible small business,
eligible job enhancement business, eligible marketing enterprise, eligible
residential property developer, eligible residential property owner, eligible
agribusiness, eligible beginning farmer, eligible livestock operation,
eligible student borrower, eligible facility borrower, or eligible water
supply system. No linked deposit loan made to any eligible farming operation,
eligible livestock operation, eligible agribusiness or eligible small business
shall exceed a dollar limit determined by the state treasurer in* the state
treasurer's best judgment, except as otherwise limited. Any link deposit loan
made to an eligible facility borrower shall be in accordance with the loan
amount and loan term requirements in section 30.860.
2. An eligible farming operation, small business or job enhancement
business shall certify on its loan application that the reduced rate loan will
be used exclusively for necessary production expenses or the expenses listed
in subsection 2 of section 30.753 or the refinancing of an existing loan for
production expenses or the expenses listed in subsection 2 of section 30.753
of an eligible farming operation, small business or job enhancement business.
Whoever knowingly makes a false statement concerning such application is
guilty of a class A misdemeanor. An eligible water supply system shall
certify on its loan application that the reduced rate loan shall be used
exclusively to pay the costs of upgrading or repairing an existing water
system, constructing a new water system, or making other capital improvements
to a water system which are necessary to improve the service capacity of the
system.
3. In considering which eligible farming operations should receive
reduced rate loans, the eligible lending institution shall give priority to
those farming operations which have suffered reduced yields due to drought or
other natural disasters and for which the receipt of a reduced rate loan will
make a significant contribution to the continued operation of the recipient
farming operation.
4. The eligible financial institution shall forward to the state
treasurer a linked deposit loan package, in the form and manner as prescribed
by the state treasurer. The package shall include such information as
required by the state treasurer, including the amount of each loan requested.
The institution shall certify that each applicant is an eligible farming
operation, eligible small business, eligible job enhancement business,
eligible marketing enterprise, eligible residential property developer,
eligible residential property owner, eligible agribusiness, eligible beginning
farmer, eligible livestock operation, eligible student borrower, eligible
facility borrower, or eligible water supply system, and shall, for each
eligible farming operation, small business, eligible job enhancement business,
eligible marketing enterprise, eligible residential property developer,
eligible residential property owner, eligible agribusiness, eligible beginning
farmer, eligible livestock operation, eligible student borrower, eligible
facility borrower, or eligible water supply system, certify the present
borrowing rate applicable.
5. The eligible lending institution shall be responsible for determining
if a student borrower is an eligible student borrower. A student borrower
shall be eligible for an initial or renewal reduced rate loan only if, at the
time of the application for the loan, the student is a citizen or permanent
resident of the United States, a resident of the state of Missouri as defined
by the coordinating board for higher education, is enrolled or has been
accepted for enrollment in an eligible higher education institution, and
establishes that the student has financial need. In considering which
eligible student borrowers may receive reduced rate loans, the eligible
lending institution may give priority to those eligible student borrowers
whose income, or whose family income, if the eligible student borrower is a
dependent, is such that the eligible student borrower does not qualify for
need-based student financial aid pursuant to 20 U.S.C. 1078, as amended (the
Higher Education Amendments of 1986). The eligible lending institution shall
require the eligible student borrower to document that the student has applied
for and has obtained all need-based student financial aid for which the
student is eligible prior to application for a reduced rate loan pursuant to
this section. In no case shall the combination of all financial aid awarded
to any student in any particular enrollment period exceed the total cost of
attendance at the institution in which the student is enrolled. No eligible
lending institution shall charge any additional fees, including but not
limited to an origination, service or insurance fee on any loan agreement
under the provisions of sections 30.750 to 30.765.
6. The eligible lending institution making an initial loan to an
eligible student borrower may make a renewal loan or loans to the student.
The total of such reduced rate loans from eligible lending institutions made
pursuant to this section to any individual student shall not exceed the
cumulative totals established by 20 U.S.C. 1078, as amended. An eligible
student borrower shall certify on his or her loan application that the reduced
rate loan shall be used exclusively to pay the costs of tuition, incidental
fees, books and academic supplies, room and board and other fees directly
related to enrollment in an eligible higher education institution. The
eligible lending institution shall make the loan payable to the eligible
student borrower and the eligible higher education institution as copayees.
The method of repayment of the loan shall be the same as for repayment of
loans made pursuant to sections 173.095 to 173.186, RSMo.
7. Beginning August 28, 2005, in considering which eligible multitenant
enterprise, eligible farming operation, eligible small business, eligible job
enhancement business, eligible marketing enterprise, eligible residential
property developer, eligible residential property owner, eligible
agribusiness, eligible beginning farmer, eligible livestock operation,
eligible student borrower, eligible facility borrower, or eligible water
supply system should receive reduced-rate loans, the eligible lending
institution shall give priority to an eligible multitenant enterprise,
eligible farming operation, eligible small business, eligible job enhancement
business, eligible marketing enterprise, eligible residential property
developer, eligible residential property owner, eligible agribusiness,
eligible beginning farmer, eligible livestock operation, eligible student
borrower, eligible facility borrower, or eligible water supply system that has
not previously received a reduced-rate loan through the linked deposit
program. However, nothing shall prohibit an eligible lending institution from
making a reduced-rate loan to any entity that previously has received such a
loan, if such entity otherwise qualifies for such a reduced-rate loan.
2004
30.756. 1. An eligible lending institution that desires to receive a
linked deposit shall accept and review applications for linked deposit
loans from eligible multitenant enterprises, eligible farming operations,
eligible small businesses, eligible job enhancement businesses, eligible
marketing enterprises, eligible agribusinesses, eligible beginning farmers,
eligible livestock operations, eligible residential property developers,
eligible residential property owners, eligible student borrowers and
eligible water supply systems. An eligible residential property owner
shall certify on his loan application that the reduced rate loan will be
used exclusively to purchase, develop or rehabilitate a multifamily
residential property. The lending institution shall apply all usual
lending standards to determine the credit worthiness of each eligible
multitenant enterprise, eligible farming operation, eligible small
business, eligible job enhancement business, eligible marketing enterprise,
eligible residential property developer, eligible residential property
owner, eligible agribusiness, eligible beginning farmer, eligible livestock
operation, eligible student borrower or eligible water supply system. No
linked deposit loan made to any eligible farming operation, eligible
livestock operation, eligible agribusiness or eligible small business shall
exceed one hundred thousand dollars and no service of separate loans may be
made which exceeds such limit to any single eligible farming operation,
eligible livestock operation, eligible agribusiness or eligible small
business.
2. An eligible farming operation, small business or job enhancement
business shall certify on its loan application that the reduced rate loan
will be used exclusively for necessary production expenses or the expenses
listed in subsection 2 of section 30.753 or the refinancing of an existing
loan for production expenses or the expenses listed in subsection 2 of
section 30.753 of an eligible farming operation, small business or job
enhancement business. Whoever knowingly makes a false statement concerning
such application is guilty of a class A misdemeanor. An eligible water
supply system shall certify on its loan application that the reduced rate
loan shall be used exclusively to pay the costs of upgrading or repairing
an existing water system, constructing a new water system, or making other
capital improvements to a water system which are necessary to improve the
service capacity of the system.
3. In considering which eligible farming operations should receive
reduced rate loans, the eligible lending institution shall give priority to
those farming operations which have suffered reduced yields due to drought
or other natural disasters and for which the receipt of a reduced rate loan
will make a significant contribution to the continued operation of the
recipient farming operation.
4. The eligible financial institution shall forward to the state
treasurer a linked deposit loan package, in the form and manner as
prescribed by the state treasurer. The package shall include such
information as required by the state treasurer, including the amount of
each loan requested. The institution shall certify that each applicant is
an eligible farming operation, eligible small business, eligible job
enhancement business, eligible marketing enterprise, eligible residential
property developer, eligible residential property owner, eligible
agribusiness, eligible beginning farmer, eligible livestock operation,
eligible student borrower or eligible water supply system, and shall, for
each eligible farming operation, small business, eligible job enhancement
business, eligible marketing enterprise, eligible residential property
developer, eligible residential property owner, eligible agribusiness,
eligible beginning farmer, eligible livestock operation, eligible student
borrower or eligible water supply system, certify the present borrowing
rate applicable.
5. The eligible lending institution shall be responsible for
determining if a student borrower is an eligible student borrower. A
student borrower shall be eligible for an initial or renewal reduced rate
loan only if, at the time of the application for the loan, he is a citizen
or permanent resident of the United States, a resident of the state of
Missouri as defined by the coordinating board for higher education, is
enrolled or has been accepted for enrollment in an eligible higher
education institution, and establishes that he has financial need. In
considering which eligible student borrowers may receive reduced rate
loans, the eligible lending institution may give priority to those eligible
student borrowers whose income, or whose family income, if the eligible
student borrower is a dependent, is such that the eligible student borrower
does not qualify for need-based student financial aid pursuant to 20 U.S.C.
1078, as amended (the Higher Education Amendments of 1986). The eligible
lending institution shall require the eligible student borrower to document
that he has applied for and has obtained all need-based student financial
aid for which he is eligible prior to application for a reduced rate loan
pursuant to this section. In no case shall the combination of all
financial aid awarded to any student in any particular enrollment period
exceed the total cost of attendance at the institution in which the student
is enrolled. No eligible lending institution shall charge any additional
fees, including but not limited to an origination, service or insurance fee
on any loan agreement under the provisions of sections 30.750 to 30.765.
6. The eligible lending institution making an initial loan to an
eligible student borrower may make a renewal loan or loans to the student.
The total of such reduced rate loans from eligible lending institutions
made pursuant to this section to any individual student shall not exceed
the cumulative totals established by 20 U.S.C. 1078, as amended. An
eligible student borrower shall certify on his loan application that the
reduced rate loan shall be used exclusively to pay the costs of tuition,
incidental fees, books and academic supplies, room and board and other fees
directly related to enrollment in an eligible higher education institution.
The eligible lending institution shall make the loan payable to the
eligible student borrower and the eligible higher education institution as
copayees. The method of repayment of the loan shall be the same as for
repayment of loans made pursuant to sections 173.095 to 173.186, RSMo.
1997
30.756. 1. An eligible lending institution that desires to receive a
linked deposit shall accept and review applications for linked deposit
loans from eligible farming operations, eligible small businesses, eligible
job enhancement businesses, eligible marketing enterprises, eligible
agribusinesses, eligible beginning farmers, eligible livestock operations,
eligible residential property developers, eligible residential property
owners, eligible student borrowers and eligible water supply systems. An
eligible residential property owner shall certify on his loan application
that the reduced rate loan will be used exclusively to purchase, develop or
rehabilitate a multifamily residential property. The lending institution
shall apply all usual lending standards to determine the credit worthiness
of each eligible farming operation, eligible small business, eligible job
enhancement business, eligible marketing enterprise, eligible residential
property developer, eligible residential property owner, eligible
agribusiness, eligible beginning farmer, eligible livestock operation,
eligible student borrower or eligible water supply system. No linked
deposit loan made to any eligible farming operation, eligible livestock
operation, eligible agribusiness or eligible small business shall exceed
one hundred thousand dollars and no service of separate loans may be made
which exceeds such limit to any single eligible farming operation, eligible
livestock operation, eligible agribusiness or eligible small business.
2. An eligible farming operation, small business or job enhancement
business shall certify on its loan application that the reduced rate loan
will be used exclusively for necessary production expenses or the expenses
listed in subsection 2 of section 30.753 or the refinancing of an existing
loan for production expenses or the expenses listed in subsection 2 of
section 30.753 of an eligible farming operation, small business or job
enhancement business. Whoever knowingly makes a false statement concerning
such application is guilty of a class A misdemeanor. An eligible water
supply system shall certify on its loan application that the reduced rate
loan shall be used exclusively to pay the costs of upgrading or repairing
an existing water system, constructing a new water system, or making other
capital improvements to a water system which are necessary to improve the
service capacity of the system.
3. In considering which eligible farming operations should receive
reduced rate loans, the eligible lending institution shall give priority to
those farming operations which have suffered reduced yields due to drought
or other natural disasters and for which the receipt of a reduced rate loan
will make a significant contribution to the continued operation of the
recipient farming operation.
4. The eligible financial institution shall forward to the state
treasurer a linked deposit loan package, in the form and manner as
prescribed by the state treasurer. The package shall include such
information as required by the state treasurer, including the amount of
each loan requested. The institution shall certify that each applicant is
an eligible farming operation, eligible small business, eligible job
enhancement business, eligible marketing enterprise, eligible residential
property developer, eligible residential property owner, eligible
agribusiness, eligible beginning farmer, eligible livestock operation,
eligible student borrower or eligible water supply system, and shall, for
each eligible farming operation, small business, eligible job enhancement
business, eligible marketing enterprise, eligible residential property
developer, eligible residential property owner, eligible agribusiness,
eligible beginning farmer, eligible livestock operation, eligible student
borrower or eligible water supply system, certify the present borrowing
rate applicable.
5. The eligible lending institution shall be responsible for
determining if a student borrower is an eligible student borrower. A
student borrower shall be eligible for an initial or renewal reduced rate
loan only if, at the time of the application for the loan, he is a citizen
or permanent resident of the United States, a resident of the state of
Missouri as defined by the coordinating board for higher education, is
enrolled or has been accepted for enrollment in an eligible higher
education institution, and establishes that he has financial need. In
considering which eligible student borrowers may receive reduced rate
loans, the eligible lending institution may give priority to those eligible
student borrowers whose income, or whose family income, if the eligible
student borrower is a dependent, is such that the eligible student borrower
does not qualify for need-based student financial aid pursuant to 20 U.S.C.
1078, as amended (the Higher Education Amendments of 1986). The eligible
lending institution shall require the eligible student borrower to document
that he has applied for and has obtained all need-based student financial
aid for which he is eligible prior to application for a reduced rate loan
pursuant to this section. In no case shall the combination of all
financial aid awarded to any student in any particular enrollment period
exceed the total cost of attendance at the institution in which the student
is enrolled. No eligible lending institution shall charge any additional
fees, including but not limited to an origination, service or insurance fee
on any loan agreement under the provisions of sections 30.750 to 30.765.
6. The eligible lending institution making an initial loan to an
eligible student borrower may make a renewal loan or loans to the student.
The total of such reduced rate loans from eligible lending institutions
made pursuant to this section to any individual student shall not exceed
the cumulative totals established by 20 U.S.C. 1078, as amended. An
eligible student borrower shall certify on his loan application that the
reduced rate loan shall be used exclusively to pay the costs of tuition,
incidental fees, books and academic supplies, room and board and other fees
directly related to enrollment in an eligible higher education institution.
The eligible lending institution shall make the loan payable to the
eligible student borrower and the eligible higher education institution as
copayees. The method of repayment of the loan shall be the same as for
repayment of loans made pursuant to sections 173.095 to 173.186, RSMo.
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