|(a) Denial. The Board may deny an application for a
license if it receives information from an administering entity that
the applicant has defaulted on a student loan or has breached a student
loan repayment contract by failing to perform his or her service obligation
under the contract. The Board may rescind a denial under this subsection
upon receipt of information from an administering entity that the
applicant whose application was denied is now in good standing.
(1) The Board shall not renew a license of a licensee
who is in default of a student loan or a repayment agreement except
as provided in paragraph (2) of this subsection.
(2) For a licensee in default of a loan or repayment
agreement, the Board shall renew the license if the licensee presents
to the board a certificate certifying that:
(A) the licensee has entered into a repayment agreement
on the defaulted loan; or
(B) the licensee is not in default on the loan or on
the repayment agreement.