§ 1951.552 - Definitions.

As used in this subpart, the following definitions apply:

(a) Active borrower. A borrower who has an outstanding account in the records of the Finance Office, including collection-only or an unsatisfied account balance where a voluntary conveyance was accepted without borrower being released from liability or where liquidation did not satisfy the indebtedness.

(b) Assistance. Financial assistance in the form of a loan or interest subsidy received.

(c) Debt instrument. Used as a collective term to include promissory note or assumption agreement.

(d) False information. Information, known to be incorrect, provided with the intent to obtain benefits which would not have been obtainable based on correction information.

(e) Inaccurate information. Incorrect information provided inadvertently without intent to obtain benefits fraudulently.

(f) Inactive borrower. A former active borrower whose loan(s) has(have) been paid in full or assumed by another party(ies), and who does not have an outstanding account in the records of the Finance Office.

(g) Unauthorized Assistance. Any loan, primary loan servicing action, including Net Recovery Buyout, or interest subsidy received for which there was no authorization, for which the borrower was not eligible, or which was obligated from the wrong appropriation or fund. An unauthorized interest subsidy is a benefit received through a loan that was made at a lower interest rate than that to which the borrower was entitled, whether the incorrect interest rate was selected erroneously by the approval official, or the documents were prepared in error.