Section 178-501-13 - Loan AdministrationA. The authority shall prepare checks as directed by the financial services provider.B. A loan is in default when any payment is 30 days past due or upon the occurrence of any event of default as defined in the loan documents.C. When a loan is in default, the financial services provider shall notify the borrower and the support services provider that the borrower has 30 days in which to cure the default.D. If the borrower fails to cure the default within 30 days, the board shall take all appropriate action provided under law and the loan documents. In determining the appropriate action, the board shall consider: 1. The recommendation of the financial services provider.2. The recommendation of the support services provider.3. The impact of enforcement and collection on the borrower; and4. The likelihood that the loan will be repaid if a waiver or extension is granted.E. If the board determines that the loan should be enforced and collected, the borrower may be given final notice of the default or defaults and acceleration of the loan and shall be given an additional grace period of 30 days in which to pay the amount outstanding, and shall be notified that if the borrower fails to make payment in full, the board may proceed to enforce its rights under the loan documents.F. The board may apply payments or other monies received on loans which are in default first to expenses of collection and preservation of collateral, second to accrued interest, and third to outstanding principal.G. In order to protect the integrity of the fund, the board may charge such administration, servicing, and document preparation fees as seem reasonable.94- 178 C.M.R. ch. 501, § 13