53-4-256. Administration of revolving loan account -- rulemaking authority. (1) The department shall adopt rules establishing:

(a) eligibility criteria;

(b) processes and procedures for disbursing loans, including the agencies or organizations that are allowed to process the loan application for the department; and

(c) terms and conditions for the loans, including repayment schedules and interest.

(2) The department shall solicit assistance in the development and operation of the program from individuals familiar with financial services and from low-income individuals.

(3) Administrative costs shall not exceed 5% of the total loans. Legal fees and costs associated with collection of debt on principal are not considered administrative fees.

(4) The loan repayment period may not exceed 2 years. The department may seek recovery of the amount of principal loaned in the event of default.