Current StatusView additional legislative information at the LPITS web site.Bill Number: 2376 Ratification Number: 431 Act Number 375 Introducing Body: House Subject: Default on certain student loans
(A375, R431, H2376)
AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-111-50 SO AS TO PROVIDE THAT NO PERSON WHO HAS DEFAULTED ON A NATIONAL DIRECT STUDENT LOAN, A NATIONAL DEFENSE STUDENT LOAN, A GUARANTEED-FEDERALLY INSURED STUDENT LOAN, A NURSING STUDENT LOAN, A HEALTH PROFESSIONS STUDENT LOAN OR A LAW ENFORCEMENT EDUCATIONAL LOAN SHALL BE EMPLOYED BY THE STATE OR ANY OF ITS DEPARTMENT, AGENCIES OR SUBDIVISIONS UNTIL ALL DEFAULTS ARE CURED AND LOAN PAYMENTS MADE CURRENT AND PROVIDE EXCEPTIONS IN THE EVENT OF WRITTEN AGREEMENTS BETWEEN THE DEFAULTER AND HIS LENDER.
Be it enacted by the General Assembly of the State of South Carolina:
Default on certain student loans
Section 1. The 1976 Code is amended by adding:
"Section 59-111-50. No person who has wilfully defaulted on a National Direct Student Loan, a National Defense Student Loan, a Guaranteed-Federally Insured Student Loan, a Nursing Student Loan, a Health Professions Student Loan or a Law Enforcement Educational Loan shall now or hereafter be employed by the State or any of its departments, agencies or subdivisions until all defaults are cured and loan payments made current; provided, however, that if such person and his lender voluntarily enter into an agreement after default under which terms the debt will be repaid and the lender confirms this agreement in writing with the state agency, department or subdivision, the loan shall not be considered in default and the default shall be considered as cured so long as the person complies with the terms of the agreement."
Time effective
Section 2. This act shall take effect upon approval by the Governor.