(a) To the extent that they are not in conflict with the provisions of Alaska Stat. § 14.43.600 – 14.43.700, the provisions of Alaska Stat. § 14.43.100 – 14.43.160 are applicable to loans made under Alaska Stat. § 14.43.600 – 14.43.700.
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Terms Used In Alaska Statutes 14.43.640

  • board: means the state Board of Education and Early Development. See Alaska Statutes 14.60.010
  • Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
  • state: means the State of Alaska unless applied to the different parts of the United States and in the latter case it includes the District of Columbia and the territories. See Alaska Statutes 01.10.060
(b) If a borrower meets the conditions provided in (a) of this section and is employed as a teacher in a rural elementary or secondary school, the portion of the loan that shall be paid by the state is the following percentages of the total loan received plus interest up to a total of 100 percent of the total loan:

(1) one year employment, 15 percent;
(2) two years employment, an additional 15 percent;
(3) three years employment, an additional 15 percent;
(4) four years employment, an additional 25 percent;
(5) over four years employment, an additional 30 percent.
(c) A loan may not exceed $7,500 in a school year, exclusive of loan guarantee fees.
(d) Proceeds from a teacher education loan may be used only for undergraduate expenses of books, tuition, required fees, loan guarantee fees, room and board, and the transportation expense for two round trips between the loan recipient’s home and school.
(e) Teacher education loans made to a student may not exceed a total of $37,500.
(f) Notwithstanding (b) of this section, a borrower who fails to qualify for loan payment by the state because the borrower is required to reside in an urban area of the state in order to receive medical treatment is still entitled to receive loan payments by the state under (b) of this section if the medical condition for which the borrower is receiving treatment did not exist before the borrower received the teacher education loan and the borrower is employed as a teacher in an urban elementary or secondary school.
(g) The commission shall set the interest rate on a teacher education loan made from the teacher education revolving loan fund established under Alaska Stat. § 14.43.620.
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