(a) For the purposes of this chapter, a loan is in default after a loan payment has become 180 or more days past due or, for a loan under AS 14.43.161 - 14.43.168 or 14.43.170 - 14.43.175, the default requirements established by the commission have been met. Upon default,
(1) repayment of the remaining balance is accelerated and due;
(2) the commission may take the borrower's permanent fund dividend under AS 43.23.067 ;
(3) the commission may issue an order to withhold and deliver under AS 14.43.147 ;
(4) the commission may provide notice of the default to a licensing entity for nonrenewal of the license under AS 14.43.148 ;
(5) the commission may record the lien created under AS 14.43.149 ; and
(6) the commission may establish an administrative collection order under AS 14.43.151 - 14.43.155.
(b) The commission shall notify the borrower of the default, and the consequences of default imposed under (a) of this section, by mailing a notice to the borrower's most recent address provided to the commission by the borrower or obtained by the commission.
(c) A borrower may appeal a notice of default by filing a statement with the executive director, within 30 days after the date of the notice, requesting that the loan status be reviewed. AS 44.62 (Administrative Procedure Act) does not apply to the review of default under this section. The borrower has the burden to show that, at the time of the notice of default, (1) no loan payment was more than 180 days past due or, for a loan under AS 14.43.161 - 14.43.168 or 14.43.170 - 14.43.175, the default requirements established by the commission had not yet been met; or (2) that the borrower entered into, and was in compliance with, a default forbearance agreement with the commission. Within 40 days after receiving a written request for review, the director shall inform the borrower in writing of the executive director's decision. The decision of the executive director is a final decision that may be appealed to the superior court under the Alaska Rules of Appellate Procedure.
Section: Previous 14.43.115 14.43.120 14.43.122 14.43.125 14.43.130 14.43.135 14.43.140 14.43.145 14.43.147 14.43.148 14.43.149 14.43.150 14.43.151 14.43.152 14.43.153 NextLast modified: November 15, 2016