ADVOKS GLOBAL · KENYA
Higher Education Loans Board Act
14. Conditions for grant of loan
Edition: 2023-12-11 · In force
14. Conditions for grant of loan
(1)The Board may—(a)accept or reject any application for a loan;(b)grant a loan to any student and in so granting impose conditions, demand security and require repayment in installments at such times and within such periods as the Board deems fit:Provided that and subject to the provisions of this section the Board may upon the request by any student to whom a loan has been granted at any time vary-(i)the condition subject to which the loan was made;(ii)any security given in relation to the loan;(iii)any of the terms of repayment of the loan.(2)Where the Board has resolved to make a loan to any eligible student, the Board shall notify the applicant in writing, and require him within a specified period not exceeding six months to comply with any conditions and provide any security which the Board may have imposed or demanded.(3)Where any applicant fails to comply with the requirement of the Board notified to him under subsection (2) within the prescribed period, the application shall be deemed to have lapsed.(3A)The Board shall notify every applicant in writing whether the application for a higher education loan has been accepted or rejected.(3B)A student may appeal against a decision of the Board to dect his or her application for grant of a higher education loan in writing, addressed to the Secretary of the Board.(4)Where in granting a higher education loan to any student the Board considers it prudent to request for a guarantor to guarantee any loan granted to a student, in case of any default by the loanee in the repayment of the loan any guarantor who has guaranteed any such loan, shall automatically and fully be liable to pay to the Board all or any loan together with interest accrued and outstanding owed to the Board by the loanee, as shall be notified to the guarantor by the Board.(5)Where a guarantor who has been notified by the Board under subsection (4) fails or refuses to repay such loan together with any interest accrued thereon, the guarantor shall be guilty of an offence and liable to criminal prosecution or civil proceedings or both in accordance with the provisions of this Act.