1428                            LAWS OF MARYLAND                      [CH. 661

appropriations, gifts, grants, bequests, devises or loans including,
but not by way of limitation, such funds as may from time to time
be appropriated by the General Assembly, the same to be used,
applied or invested as the General Assembly may direct in making
any such appropriation, or, in absence of specific direction, as the
board may determine; provided, however, that no obligation of the
corporation shall be a debt of the State, and the corporation shall
have no power to make its debts payable out of any moneys except
those of the corporation.

(c)   Contracts.—To enter into contracts with (A) institutions of
higher education and vocational schools upon such terms as may be
agreed upon between the corporation and any such institution or
school, to provide for the administration by such institutions or
schools of any loan, or guarantee of a loan, made by the corporation,
including applications therefor and repayment thereof; and (B) the
United States government, or any department, agency or office
thereof, or any private agency approved by the board, for the pur-
pose of receiving funds or services therefrom.

(d)  Sue and be sued; service of process.—To sue and be sued in
the name of the corporation. Process in any action or proceeding may
be served in the manner provided by the corporation laws.

(e)  Rules and regulations.—To adopt rules and regulations, not
inconsistent with law, governing the application for and the grant-
ing, administration and repayment of loans, or the guarantee of
loans, made by the corporation, the eligibility of students, colleges,
vocational schools and lending institutions to participate in the pro-
gram, and governing any other matters relating to the activities of
the corporation. The board may adopt such rules and regulations as
may be necessary to conform its loan and guarantee policies and
requirements to the requirements of the United States Commissioner
of Education. The board shall require all persons borrowing from
the corporation, or borrowing funds guaranteed by the corporation,
to pay interest on the amount borrowed during the term of the loan
in such amount not exceeding six per centum per annum and at such
intervals as the board may fix; provided, however, that any part of
such interest which may be paid or payable by the United States
government, or any department, agency, or office thereof, shall not
be collected from such persons.

(f)   Other acts.—To perform such other acts as may be necessary
or appropriate to carry out effectively the objects and purposes of
the corporation, as specified in this article.

7. Terms and conditions of repayment of college loan.

(a) The terms and- conditions of any college loan made or guar-
anteed by the corporation shall not require the borrower thereof
to commence the repayment of his loan earlier than nine months
or later than one year after he ceases to pursue a full-time or
part-time course of study at an eligible college; provided, however,
that the board may, by rule, provide that such repayment shall not
commence during any period (1) during which the borrower is
pursuing a full-time course of study at an institution of higher
education or at a comparable institution approved by the United
States Commissioner of Education; (2) not in excess of three years
during which the borrower is a member of the armed forces of the