Pennsylvania Statutes Title 7 P.S. Banks and Banking § 6020-161. Educational loans

Associations may invest in loans, obligations and advances of credit (all of which are hereinafter referred to in this section as “loans”), made for the payment of expenses incurred or to be incurred in acquiring an education at a post secondary institution of higher learning, but no association shall make any investment in loans under this section if the principal amount of its investment in such loans would thereupon exceed five percent of its assets. Such loans shall be made under such regulations as the department may prescribe. In the event that the department shall not prescribe regulations then said loans shall be made under such regulations as are issued under and in accordance with the Pennsylvania Higher Educational Assistance Agency Act.  1 Any person under the age of twenty-one years securing an educational loan under this section or an educational loan made by a Federal association shall be deemed to have full legal capacity to contract and shall have all the rights, powers, privileges and obligations of a person of full age with respect thereto.