---
kind: "section"
citation: "34 C.F.R. § 674.10"
title: "34"
number: "674.10"
heading: "Selection of students for loans."
url: "https://uscodex.org/cfr/34/674.10"
---

# §674.10. Selection of students for loans.

- (a)
  - (1) An institution shall make loans under this part reasonably available, to the extent of available funds, to all students eligible under [§ 674.9](/cfr/34/674.9.md) but shall give priority to those students with exceptional financial need.
  - (2) The institution shall define exceptional financial need for the purpose of the priority described in [paragraph (a)(1)](#a-1) of this section and shall develop procedures for implementing that priority.
- (b) If an institution's allocation of Federal Capital Contribution is directly or indirectly based in part on the financial need demonstrated by students attending the institution as less-than-full-time or independent students, a reasonable portion of the dollar amount of loans made under this part must be offered to those students.
- (c) The institution shall establish selection procedures and these procedures must be—
  - (1) In writing;
  - (2) Uniformly applied; and
  - (3) **Maintained in the institution's files.**

## Notes

### Amendments

[52 FR 45747, Dec. 1, 1987, as amended at 53 FR 49147, Dec. 6, 1988; 59 FR 61407, Nov. 30, 1994; 64 FR 58292, 58315, Oct. 28, 1999]

### Source

Source: 52 FR 45747, Dec. 1, 1987, unless otherwise noted.

### Authority

Authority: 20 U.S.C. 1071—1087ii; 1087dd(h)(1)(D).

### Amendments

[52 FR 45747, Dec. 1, 1987, as amended at 53 FR 49147, Dec. 6, 1988; 59 FR 61407, Nov. 30, 1994; 64 FR 58292, 58315, Oct. 28, 1999]