(a) The board retains the right to determine the eligibility of educational loan providers to which payments may be made. An eligible lender or holder shall, in general, make or hold education loans made to individuals for purposes of undergraduate or veterinary medical education and shall not be any private individual. An eligible lender or holder may be, but is not limited to, a bank, savings and loan association, credit union, institution of higher education, secondary market, governmental agency, or private foundation.
(b) To be eligible for repayment, an education loan must:
  (1) be evidenced by a promissory note for loans to pay for the cost of attendance for veterinary medical education;
  (2) not have been made to cover costs incurred after completion of veterinary school;
  (3) not be in default at the time of the application;
  (4) not have an existing obligation to provide service for loan forgiveness through another program;
  (5) not be subject to repayment through another educational loan repayment or loan forgiveness program or repayment assistance provided by the applicant's employer while the applicant is participating in the program;
  (6) if the loan was consolidated with other loans, the applicant must provide documentation of the portion of the consolidated debt that was originated to pay for the cost of attendance for the applicant's veterinary medical education; and
  (7) not be an education loan made to oneself from one's own insurance policy or pension plan or from the insurance policy or pension plan of a spouse or other relative.

Source Note: The provisions of this §42.19 adopted to be effective May 24, 2023, 48 TexReg 2567