1.
What are my obligations with the Fund once I receive a loan and am on
the grace period?
There are three main
obligations our beneficiaries need to take into account once the loan is
approved:
a) Apply the amount of
the loan only to the education-related purposes stated in the loan
agreement for which the loan is granted.
b) Submit semester
grades or reports on their academic progress to the Committee at the end
of each academic period.
c) Timely inform the
Committee whenever there is a change in the date of graduation or
completion of training, immediate work plans, new address, telephone
number, facsimile number (if any), and/or e-mail address (if any).
For further
information read the terms and
conditions to abide once a loan is approved.
2.
Where do I update my information?
The most effective
way you can update your information is by sending an e-mail to the
following address:
rowefund
at oas dot org (include in the subject your complete name and loan
number). Remember to include your complete address, phone number,
most used e-mail address, and facsimile number, if available. You
may also update your information and/or send copy of your transcripts
and diploma to the following address:
Organization of American States
Leo S. Rowe Pan American Fund
1889 F. St. NW (Office Nº727)
Washington, DC
20006
3.
Can I apply for an extension on the beginning collection date
established in the loan agreement?
The beginning payment
date is that established in the loan agreement, based on the estimated
graduation date at the time the loan is granted. Failure to graduate by
that date is no excuse for changing the beginning payment date. Our
beneficiaries may only apply for a postponement of the beginning
collection date if they can prove to the satisfaction of the Committee,
a justifiable reason for doing so. Beneficiaries need to apply, at
least, three months in advance of the first payment date established in
the loan agreement. To do so, they need to submit a letter addressed to
the Leo S. Rowe Committee stating the reasons for requesting an
extension, proof or support for the request, and latest transcripts
(include copy of the diploma, if available). Beneficiaries need to
clearly state the number of months they are requesting to postpone the
beginning collection date and sufficiently explain and prove the reasons
for such request.
4.
Can I start making payments prior to the beginning date
indicated in the loan agreement?
Yes. Indeed we
encourage our beneficiaries to make payments prior to the date indicated
in the loan agreement, considering that upon, returning to their
country, they cannot claim difficulties in obtaining the necessary US
dollar currency as an excuse for delaying or suspending their payments.
It is suggested that if during the grace period, beneficiaries are
working part-time and can make partial payments on the loan prior to the
start payment date indicated in the loan agreement, to do so. In
general, our beneficiaries may pay off the loan prior to the dates
indicated in the loan agreement, either through starting repayment
earlier, making larger payments than those agreed to, and/or making one
lump sum payment.
5.
What are my obligations once I start the
repayment period stipulated in the loan agreement?
a) Send
last copy of Diploma and final transcripts
b) Continue
updating information until the loan is fully paid. Thereafter, although
not required, the Fund would appreciate receiving information about the
Borrower’s changes of address and career advancement, because
periodically it conducts surveys among the Borrowers to improve the
reach and usefulness of its student loan program.
c) Apply
the amount of the loan to the education-related purposes, set forth in
the loan agreement, for which the loan was granted
d) Repay
the loan within the period of time and in the amounts stipulated in the
loan agreement.
e) Monthly
installments should be received by the Cashier by the first day of each
month
f)
Beneficiaries may not claim
difficulties in obtaining the necessary US dollar currency as an excuse
for delaying or suspending their payments
g) Beneficiaries must
be committed to return to their country of origin.
For further
information read the terms and
conditions to abide once a loan is approved
6.
What payment options do I have, while in the
United States and once I return to my country?
Beneficiaries may
make their payments by credit card, through automatic deductions from a
credit card, check by mail, by wire transfer, or through the
OAS offices
in member states. For further information regarding
payment options
click here. With the goal of providing a better service and more
efficient payment system, the Committee is continuously exploring new
alternatives of payment.
7.
What happens if I fall in arrears?
The Fund will not
charge interest on student loans as long as our beneficiaries fulfill
their commitments stipulated in the loan agreement. However, by signing
their respective agreements, both beneficiaries and guarantors,
expressly agree that:
a) In the event of
any arrears of three or more payments, without an appeal approved by the
Fund Committee, the Fund may, at its sole discretion, take one or more
of the following actions:
i. Charge
monthly the total amount of the loan owed with an interest penalty
established in the loan agreement
until the loan is paid in full. Once this interest charge starts, it
can be suspended if the loan ceases to be in arrears and the beneficiary
requests so in writing to the Committee;
ii. If
arrears equivalent to three months of payment remain, re-calculate (as
many times as needed while monthly arrears persist) the minimum monthly
payments required to fully repay the loan by the maturity date,
stipulated in the agreement;
iii. If
arrears exceed the equivalent of three times the amount of monthly
payments for three consecutive months, the total amount owed–including
cumulative interest–will be due and must be paid immediately, and the
Fund shall notify the beneficiary and the guarantor that, to honor their
commitments, they must pay the full outstanding balance of the loan;
iv. If
a month after having sent the pertinent notification, the loan has still
not been totally paid, increase the total amount owed by 10% and send
the file to a collection agency.
8.
What would happen if I overstay in the United States?
Your account will be charged with an
annual interest rate established in the loan agreement.
9. In the worst case scenario, what happens if
I am in arrears and overstayed in the United States?
A combined penalty of
13% will be charged (7% for overstaying in the United States and 6% for
balance in arrears). The Fund may also take appropriate additional
actions to ensure that the loans are repaid in full and within the terms
agreed in the loan contract, including reporting the beneficiary and
guarantor defaults to credit bureau and credit rating organizations in
the United States and elsewhere. The beneficiary agrees that if
he/she fails to comply with any of his/her obligations under the loan
agreement, including, but not limited to defaulting on loan repayment
obligations and/or otherwise violating the agreement, he/she will submit
to the jurisdiction of the judges and/or courts of his/her place of
residence or of Washington, D.C., U.S.A. (at the sole discretion of the
Rowe Fund Committee or its legal representative) for all legal action
(s) that may be deemed necessary by the Committee. The beneficiary
further agrees to comply with all notifications and all judicial
procedures, requirements, and orders that may be necessary to enforce
and/or obtain fulfillment of the loan agreement signed once the loan is
approved by the Committee.
10.
Are there other penalties I should be aware
of?
For any check
returned by the bank for insufficient funds or each pre-authorized
credit card payment that is declined by the card issuer the
beneficiary’s account will be assessed a penalty charge established by
the Committee.
11. Is there any penalty for not
submitting the transcripts, or not informing the Fund about my
whereabouts on time?
In
the case of any violation to the loan agreement, including but not
limited to, changing major without notifying the Fund, not submitting
transcripts, or copy of the diploma, not finishing the studies for which
the loan was granted, or not informing the whereabouts on
time, any of the penalties described in numeral 7 may apply and/or the
full amount of the loan may be requested.
12. When do the Rowe Fund loan
beneficiaries must return to their country of origin?
The date by which the
beneficiaries from the loan must return to their country of origin is
stated in the contract signed by the student and the Rowe Fund.
Generally this date is twelve months after the expected completion date
(as it appears in the loan agreement) of the studies or degree for which
the loan has been granted. Thus, the beneficiaries from the loan are
able to make a full use of their optional practical training (OPT) year
in the United States allowed by the US immigration authorities, if they
so choose, before returning to their country of origin.
13. What is meant by return to
country of origin?
After completion of
the study or training program for which the loan was granted, the
student must return to his/her country of origin (the one which appears
in the contract), unless the student decides to work in another country
whose citizens are eligible for the Rowe Fund loan (the list of such
countries can be seen by clicking here or at
an accredited international organization of which the majority of the
OAS countries are members.
14.
What are the consequences for not returning
to the country of origin by the date stipulated in the contract?
Unless the
beneficiary has requested and received from the Committee authorization
to extend the deadline to leave the United States, if this obligation to
return to his/her country is not met and the loan has not been fully
paid, the entire unpaid balance shall be immediately due and payable,
and the loan balance will accrue monthly interest charges calculated at
a rate established in the loan agreement. Once this interest charge starts, it continues
until the loan is fully paid, unless the beneficiary returns to his/her
country (or has a valid reason for not doing so), requests to the
Committee, in writing, that this interest charge be discontinued, and
the Committee agrees to suspend the charge.
