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348 (07/2026) Chapter 2:Eligibility • Section 5: Financial eligibility • For OSIPM, MSP and SNAP, the loan agreement may be written or oral and must state when repayment is due to the lender. • Payments for a purported loan that do not meet these requirements are treated as unearned income. When the financial group receives cash proceeds as a borrower from a loan: • For all programs, treat educational loans according to the educational income policies. • For ERDC, REF, REFM, SNAP and TANF, exclude loans obtained by the financial group in the month received. If retained after the month of receipt, treat in accordance with OAR 461 140 0070 and 414-175-0030. For OSIPM:
If the loan is a bona fide loan agreement, the money provided by the lender is not income but is counted as the borrower’s resource if retained in the month following the month of receipt (notwithstanding OAR 461-140-0070).
If the loan is not a bona fide loan agreement, the money provided by the lender is counted as income in the month received and is counted as a resource if retained in the month following the month it was received. For MSP:
If the loan is a bona fide loan agreement, the money provided by the lender is not considered income.
If the loan is not a bona fide loan agreement, the money provided by the lender is counted as income in the month received.
All money provided by the lender is excluded as a resource. For loans that a member of the financial group makes as a lender: For OSIPM:
For those in a standard living arrangement: » If the loan is both a negotiable loan agreement and a bona fide agreement: Only the interest portion of payments made by the borrower to the lender is counted as unearned income, the principal portion of any payments is excluded. The outstanding principal balance is counted as a resource. » If the loan is not both negotiable and bona fide: Both the principal and interest payments are treated as unearned income. The balance of the loan is excluded as a resource.
For those in a non-standard living arrangement: » For transactions occurring before July 1, 2006, loans are treated as they are with OSIPM in a standard living arrangement (see above). » For transactions after July 1, 2006, if a loan meets the following requirements, then the loan is still treated as they are with OSIPM in a standard living arrangement: