OCR Text |
Show Page 7 Forum April 11, 1986 features Deadbeats5 Dosi5t Get Grants WASHINGTON, D.C. (CPS) -S- cholars, grad students and artists who havent repaid their student loans on time no longer will be able to get grants from the National Endowment for the Humanities (NEI1). In an effort to help collect money on defaulted student loans the NEII, which will award $132.7 million to scholars and artists this year, now will require all grant applicants to fill out a form stating the status of any Guaranteed Student Loan money they might have borrowed. Before we offer anyone more tax money, we wish to be certain that all applicants are carrying out their obligations to the citizens of America." says John Agresto, the NEHs acting chairman. The U.S. Department of Education estimates defaults on student loans could exceed $1 billion by the end of this year, and could go as high as $2 billion by the end of the decade. Wtjio.wiU vpu toe. COMMITMENT pa-vin- g The department, of course, has accelerated all its collection efforts. While Education Secretary William Bennett used to head the NEH, the agencys deci la.-K.r-- , You've made a commitment to Loan Program. Getting through school is tough enough without your education and to your future. Long hours at the library, writing papers, cramming for tests. We understand commitment. That's why CSB is proud to be part of the Guaranteed Student v worrying about money. If you qualify, we'll lend you the money you need with no repayment due until after you leave school when your earning power is greater and the sion to grill applicants was its own, not the Education Departments, maintains NEH spokesman Darrel deChaby. No one knows. how many deadbeats currently are getting NEH funds, deChaby explains, but he figures that since a significant number of applicants spend years in academe, many probably took out student loans. Although the policy goes into effect immediately, it wont apply to all NEH grant recipients for about a year, deChaby says. He says the NEH will make only new applicants disclose their loan status. The agency wont ask current recipients about their loans because it would be hard to get NEH money back, even from those who admitted being in default. NEH officials will confirm applicants claims with the Education Department, and, if discrepancies arise, the NEH will ask the Justice Department to deal with defaulters. The penalty for falsifying information to the government could result in a fine of up to $10,000 andor as much as five years in jail, NEH attorney Hugh Hewitt warns. pressures of school are off. The current annual percentage rate for student loans is with up to 10 years to repay. For help setting up your student and ask for 0 loan, call the student loan advisor. 8, 535-100- e is OS Commercial Cccurtty Dank Cnmmwltt It bnton 5m a IB75 Copyright ( nmtmm.il Sturdy H,imnrjr.itHn I) |