---
title: O.C.G.A. § 20-3-395. Definitions.
collection: code
id: 20-3-395
cite_as: O.C.G.A. § 20-3-395 (2025)
canonical_url: https://georgiacommons.org/code/20-3-395
md_url: https://georgiacommons.org/code/20-3-395.md
text_url: https://georgiacommons.org/code/20-3-395/text
source_url: https://www.legis.ga.gov/api/document/docs/default-source/joint-features-document-library/t20-ch3-18-(v17a)-2025-pdf.pdf?sfvrsn=10d12596_0#page=249
date: 2025
status: active
corpus_version: 2025-supplement-89aa39ab3c68
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publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
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version: For effective date, see note.
in_force: true
current_through: Including Acts of the 2025 Session of the General Assembly of Georgia
heading_path: EDUCATION / POSTSECONDARY EDUCATION / SCHOLARSHIPS, LOANS, AND GRANTS / GEORGIA STUDENT FINANCE AUTHORITY / Direct Loans to Students on Basis of Need and Merit
---

# O.C.G.A. § 20-3-395. Definitions.

As used in this subpart, the term:

(1) “Cost of attendance” of a student means the cost of attendance calculated in accordance with Title IV.

(2) “Eligible high school” has the same meaning as provided in Code Section 20-3-519.

(3) “Eligible postsecondary institution” means:

(A) A unit of the University System of Georgia that offers associate’s or baccalaureate degrees;

(B) A unit of the Technical College System of Georgia that offers associate’s or baccalaureate degrees; or

(C) An institution of higher education located in this state that offers associate’s or baccalaureate degrees; that is accredited by a regional accrediting agency recognized by the United States Department of Education; that is not a Bible school or college; that admits as regular students only persons who have a high school diploma, a state approved high school equivalency (HSE) diploma, or a degree from an accredited postsecondary institution; and whose students are eligible to participate in the federal Pell Grant program.

(4) “Expected family contribution” means expected family contribution calculated in accordance with Title IV.

(5) “Reasonable interest rate” means an interest rate no higher than the Wall Street Journal prime rate effective on July 1 for the fiscal year beginning July 1 of each year. If an outstanding loan made under this subpart is subject to the reasonable interest rate, the reasonable interest rate for the current fiscal year shall apply to such a loan during that fiscal year without regard to the interest rate at the time of the loan’s origination or the interest rate at the time of the student’s default.

(6) “Title IV” means Title IV of the federal Higher Education Act of 1965, as amended, 20 U.S.C. Section 1070, et seq.

## History

Code 1981, § 20-3-395, enacted by Ga. L. 2008, p. 626, § 2/SB 169; Ga. L. 2022, p. 168, § 2(7)/SB 397; Ga. L. 2025, p. 745, § 2/SB 154; Ga. L. 2025, p. 1029, § 20(41)/SB 153, effective July 1, 2025.

## Code Commission Notes

Pursuant to Code Section 28-9-5, in 2008, “Technical College System of Georgia” was substituted for “Department of Adult and Technical Education” in subparagraph (3)(B).

## Law Reviews

For article, “Education: Postsecondary Education,” see 28 Ga. St. U.L. Rev. 193 (2011).

## Amendments

The first 2025 amendment inserted “or its successor” following “United States Department of Education” in subparagraph (3)(C). For effective date of this amendment, see the delayed effective date note.

The second 2025 amendment, effective July 1, 2025, part of an Act to revise, modernize, and correct the Code, substituted “associate’s” for “associate” in subparagraphs (3)(A), (3)(B), and (3)(C) and substituted “U.S.C.” for “U.S.C.A.” in paragraph (6).

## Delayed Effective Date

Ga. L. 2025, p. 745, § 4/SB 154, provides that the 2025 amendment becomes effective upon an act of Congress repealing the establishment of the United States Department of Education or otherwise abolishing the United States Department of Education. This Code section, as set out above, does not reflect the amendment by that Act owing to the delayed effective date. When the contingency is met, subparagraph (3)(C) will read as follows: “An institution of higher education located in this state that offers associate’s or baccalaureate degrees; that is accredited by a regional accrediting agency recognized by the United States Department of Education or its successor; that is not a Bible school or college; that admits as regular students only persons who have a high school diploma, a state approved high school equivalency (HSE) diploma, or a degree from an accredited postsecondary institution; and whose students are eligible to participate in the federal Pell Grant program.”.