Texas Higher Education Coordinating Board
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Texas B-On-Time (BOT) Loan Program

The Texas B-On-Time Loan program is a zero-interest loan. Only renewal awards are available. The institution's financial aid office will determine renewal eligibility. Eligible students can complete an application and promissory note at Loans Online.

Renewal Eligibility Requirements

To maintain eligibility for future disbursements, the student must

  • be a Texas resident or be entitled to pay resident tuition rates as a dependent child of a member of the U.S. armed forces; and
  • not have been granted a baccalaureate degree;
  • be enrolled full time in an undergraduate degree program at an eligible institution;
  • have completed a Free Application for Federal Student Aid (FAFSA) and be eligible to receive federal financial aid;
  • complete at least 75% of the semester credit hours attempted in the most recent academic year and have a cumulative GPA of at least a 2.5 on a 4.0 scale (or the equivalent) on all course work previously attempted at institutions of higher education;
  • not receive B-On-Time loans for more than 150 hours.

Annual Loan Amounts for 2016-2017

  • 4-year public and private institutions: $8,722 per year; $4,361 per semester (renewal recipients only)
  • Public Technical Colleges: $4,572 per year: $2,286 per semester (renewal recipients only)
  • 2 year Public or Private Community Colleges: $2,832 per year; $1,416 per semester (renewal recipients only)
  • A 3% origination fee will be deducted from the loan proceeds

Forgiveness Requirements

Forgiveness may be granted if the student receives an undergraduate degree or certificate from an eligible institution and the student meets certain requirements:

  • Graduated with a cumulative GPA of at least a 3.0 on a four-point scale, within
    • 4 calendar years after the date the student initially enrolled in an eligible institution;
    • 5 calendar years after the date the student initially enrolled in an eligible institution, if the degree is in architecture (Texas CIP Codes Category 04.0201), engineering (Texas CIP Codes Category 14); or
    • 2 calendar years after the date the student initially enrolled in a public or private 2-year institution.


  • Graduated with a B average or a cumulative grade point average of at least 3.0 on a four-point scale with a total number of course credit hours earned, including transfer credit hours and excluding hours earned exclusively by examination, dual credit course hours, and hours earned for developmental coursework that an institution required the student to take under TEC, Section 51.3062 (relating to Success Initiative), or under the former provisions of TEC, Section 51.306 (relating to Texas Academic Skills Program), that is not more than six hours more than the number of credit hours required to complete a baccalaureate degree

Forgiven B-On-Time loans must be reported to the IRS as taxable income.

Where Can I Get More Information?

For more information, review Coordinating Board Rules, Chapter 21, Subchapter E, or contact our Borrower Services Department at:

Austin Metro: (512) 427-6340
Outside Austin Metro: (800) 242-3062
Email: Borrower Services

College for all Texans

A person submitting misleading or fraudulent information to the Texas Higher Education Coordinating Board in an attempt to obtain financial aid is subject to criminal prosecution. Please contact the State Auditor's Fraud Hotline to report suspected fraud.

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