Bosnia U. S. Military Mobilzations |
LOUISIANA STUDENT FINANCIAL ASSISTANCE COMMISSION
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TO: |
Lenders and Schools |
DATE: |
September 15, 1997 |
TOPIC: |
Bosnia U. S. Military Mobilzations |
To assure that your Common Manual remains current, please record this document on your LPM/LPB Index, and retain it in Appendix E of your manual.
The U.S. Department of Education has advised that certain members of the Armed Forces of the United States, including individuals and units of the National Guard and the Reserves, continue to be involved with the ongoing U.S. role in Bosnia. The interests of the Nation require the suspension of collection efforts in the FFEL Program that would otherwise be directed against members of the Armed Forces who are involved in the Armed Forces operations related to Bosnia. This suspension applies to all borrowers, including those who would otherwise be subject to default collection efforts by LOSFA.
The mandatory administrative forbearance rules in 34 CFR 682.211(j)(2)(i) will apply to these borrowers. The mandatory administrative forbearance will end on December 1, 1998, and, in accordance with ยง682.211(j)(2)(i) all normal collection activities will resume on January 1, 1999. So that all borrowers involved in these military operations are treated consistently, LOSFA will follow those procedures with respect to borrowers who are obligated to repay the agency. The Department expects that before resuming normal collection activities, lenders and guarantors will notify borrowers of the scheduled termination of the forbearance period. Based on previous experience, the notice to borrowers is most effective if sent 45 to 90 days before the resumption of collection activities - in this case, between October 1 and November 15, 1998.