|
|
| Alpha Index : Table of Contents : Official University Policies & Procedures : Questions : UC Irvine |
UC IRVINE ADMINISTRATIVE POLICIES & PROCEDURES |
| Responsible
Office: Accounting & Fiscal Services Revised: June 1997 (reviewed 8/07) |
Contact: Financial Services Office at (949) 824-7310
l. Have an immediate need for funds as the result of an emergency and have no other source of funds available within the time necessary to act; or
2. Have a personal financial hardship and cannot obtain a loan from a credit union or comparable lending institution.
Examples of an emergency need are:
Examples of non emergency needs for which loans will not be provided:
The operation of this loan fund is not to compete with local credit unions or other lending institutions but to fill the needs of University employees that are not being met by credit unions and other comparable lending institutions.
1. Amount of Loan
a. A borrower is limited to receiving one loan, up to $1,000 per fiscal year. A borrower’s outstanding obligation to the loan fund my not exceed $1,000 at any time.
b. An Employee Emergency Loan Financial Statement is required to apply for loans exceeding $300 and/or repayment periods longer than 3 months. The right is reserved to require a financial statement with any loan application.
2. Interest Rate
a. The interest rate is equal to the annualized equivalent of the average rate of return earned by the Short-term Investment Pool during the most recent four calendar quarters, plus an administrative fee of .25 of one percent.
b. Loans approved because of a UC payroll system delay in paying employees are not charged interest.
1. Payments are applied first to the interest due and the remainder is applied to the principal. There is no penalty for prepayments.
2. Repayment will begin no later than 45 days after the date of the signed Employee Emergency Loan Promissory Note. Loans are repaid by payroll deduction.
3. The maximum repayment period is one year or the period of appointment, whichever is shorter. Loans must be paid in full immediately upon termination of employment with the University of California, Irvine.
4. The schedule of repayment amounts and dates is determined on an individual basis at the time the loan is negotiated.
5. Repayment not made in accordance with the terms of the Promissory Note will cause the entire remaining balance to become immediately due and payable upon demand.
6. If a portion of the loan is not repaid in accordance with the Promissory Note, or if any portion remains unpaid upon termination of employment at UCI, the University may deduct the unpaid balance, together with interest, from sums due the borrower from the University.
1. The Employee Emergency Loan Application, available from the campus Financial Services Office, is completed by the loan applicant.
2. The application is acted upon by the Associate Vice Chancellor-Administrative and Business Services or the designated representative. A minimum of 2 working days from receipt of the completed application is required for loan approval and issuance of loan checks.
3. The applicant is notified whether or not the loan is approved.
4. If the loan is approved, the applicant signs an Employee Emergency Loan Promissory Note.
1. Reconciliation
Outstanding promissory notes are reconciled to the loan receivable account quarterly by the Financial Services Office.
2. Reports
Annual reports of loan activity are submitted to the Office of Real Estate Management and Loan Programs by the Financial Services Office.
| Alpha Index : Table of Contents : Official University Policies & Procedures : Questions : UC Irvine |