Section 7-1-707.1. Suspension or denial of license to student borrowers in default and not in satisfactory repayment status

   (a) As used in this Code section, the term:

   (1) "Agency" means the Georgia Higher Education Assistance Corporation created in Code Section 20-3-263 which is responsible for administering a program of guaranteed educational loans to eligible students and eligible parents known as the Georgia Higher Education Loan Program.

   (2) "Borrower" means an individual who borrowed a guaranteed educational loan under the Georgia Higher Education Loan Program.

   (3) "Default" means default as defined by federal law under the Higher Education Act of 1965.

   (4) "Satisfactory repayment status" means the borrower has agreed to repay the defaulted loan to the agency and has made a payment in the most recent prior 60 days.

(b) The department shall suspend, as provided for in Code Section 20-3-295, the license of any check casher upon receipt of a record from the agency stating that such licensee is a borrower in default who is not in satisfactory repayment status.

(c) The department shall deny, as provided for in Code Section 20-3-295, the application or renewal of any applicant or licensee upon receipt of a record from the agency stating that such applicant or licensee is a borrower in default who is not in satisfactory repayment status.

(d) Notwithstanding any other provisions of law, the hearings and appeals procedures provided for in Code Section 20-3-295, where applicable, shall be the only such procedures required to suspend a license or deny the issuance or renewal of an application for a license under this article.

Code 1981, § 7-1-707.1, enacted by Ga. L. 1998, p. 1094, § 3.