---
kind: "section"
citation: "45 C.F.R. § 2525.310"
title: "45"
number: "2525.310"
heading: "Under what circumstances will AmeriCorps pay interest that accrues on qualified student loans during an individual's term of service in an approved position?"
url: "https://uscodex.org/cfr/45/2525.310"
---

# §2525.310. Under what circumstances will AmeriCorps pay interest that accrues on qualified student loans during an individual's term of service in an approved position?

- (a) **Eligibility.** AmeriCorps will pay interest that accrues on an Eligible Individual's qualified student loan, subject to the limitation on amount in [paragraph (b)](#b) of this section, if:
  - (1) The Eligible Individual successfully completes a term of national service in an approved position; and
  - (2) The loan holder approves the Eligible Individual's request for forbearance for a time period specified by the loan holder during the term of service.
- (b) **Amount.** The portion of accrued interest that AmeriCorps will pay is determined by the length of service. The percentage of accrued interest that AmeriCorps will pay is the lesser of—
  - (1) **The product of—**
    - (i) The number of completed service hours divided by the number of days for which forbearance was granted; and
    - (ii) 365 divided by 17; and
  - (2) **One hundred (100).**
- (c) **Supplemental to education award.** A payment of accrued interest under this part is supplemental to an education award received by an Eligible Individual under this part.
- (d) **Limitation.** AmeriCorps is not responsible for the payment of any accrued interest in excess of the amount determined in accordance with [paragraph (b)](#b) of this section.
- (e) **Suspended service.** AmeriCorps will not pay interest expenses that accrue on an Eligible Individual's qualified student loan during a period of suspended service.

## Notes

### Authority

Authority: 42 U.S.C. 12601-12606

### Source

Source: 88 FR 44727, July 13, 2023, unless otherwise noted.