
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 38USC3686]

 
                      TITLE 38--VETERANS' BENEFITS
 
               PART III--READJUSTMENT AND RELATED BENEFITS
 
           CHAPTER 36--ADMINISTRATION OF EDUCATIONAL BENEFITS
 
                 SUBCHAPTER II--MISCELLANEOUS PROVISIONS
 
Sec. 3686. Correspondence courses

    (a)(1) Each eligible veteran (as defined in section 3452(a)(1) and 
(2) of this title) and each eligible spouse or surviving spouse (as 
defined in section 3501(a)(1)(B), (C), or (D) of this title) who enters 
into an enrollment agreement to pursue a program of education 
exclusively by correspondence shall be paid an educational assistance 
allowance computed at the rate of 55 percent of the established charge 
which the institution requires nonveterans to pay for the course or 
courses pursued by the eligible veteran or spouse or surviving spouse. 
The term ``established charge'' as used herein means the charge for the 
course or courses determined on the basis of the lowest extended time 
payment plan offered by the institution and approved by the appropriate 
State approving agency or the actual cost to the veteran or spouse or 
surviving spouse, whichever is the lesser. Such allowance shall be paid 
quarterly on a pro rata basis for the lessons completed by the veteran 
or spouse or surviving spouse and serviced by the institution.
    (2) The period of entitlement of any veteran or spouse or surviving 
spouse who is pursuing any program of education exclusively by 
correspondence shall be charged with one month for each $376 which is 
paid to the veteran or spouse or surviving spouse as an educational 
assistance allowance for such course.
    (3) Notwithstanding any other provision of law unless enacted in 
express limitation of this paragraph, funds in the Department of 
Veterans Affairs readjustment benefits account shall be available for 
payments under paragraph (1) of this subsection for pursuit of a program 
of education exclusively by correspondence in which the veteran or 
spouse or surviving spouse enrolls after September 30, 1981.
    (b) The enrollment agreement shall fully disclose the obligation of 
both the institution and the veteran or spouse or surviving spouse and 
shall prominently display the provisions for affirmance, termination, 
refunds, and the conditions under which payment of the allowance is made 
by the Secretary to the veteran or spouse or surviving spouse. A copy of 
the enrollment agreement shall be furnished to each such veteran or 
spouse or surviving spouse at the time such veteran or spouse or 
surviving spouse signs such agreement. No such agreement shall be 
effective unless such veteran or spouse or surviving spouse shall, after 
the expiration of ten days after the enrollment agreement is signed, 
have signed and submitted to the Secretary a written statement, with a 
signed copy to the institution, specifically affirming the enrollment 
agreement. In the event the veteran or spouse or surviving spouse at any 
time notifies the institution of such veteran's or spouse's intention 
not to affirm the agreement in accordance with the preceding sentence, 
the institution, without imposing any penalty or charging any fee shall 
promptly make a full refund of all amounts paid.
    (c) In the event a veteran or spouse or surviving spouse elects to 
terminate such veteran's or spouse's enrollment under an affirmed 
enrollment agreement, the institution may charge the veteran or spouse 
or surviving spouse a registration or similar fee not in excess of 10 
percent of the tuition for the course, or $50, whichever is less. Where 
the veteran or spouse or surviving spouse elects to terminate the 
agreement after completion of one or more but less than 25 percent of 
the total number of lessons comprising the course, the institution may 
retain such registration or similar fee plus 25 percent of the tuition 
for the course. Where the veteran or spouse or surviving spouse elects 
to terminate the agreement after completion of 25 percent but less than 
50 percent of the lessons comprising the course, the institution may 
retain the full registration or similar fee plus 50 percent of the 
course tuition. If 50 percent or more of the lessons are completed, no 
refund of tuition is required.

(Added Pub. L. 92-540, title III, Sec. 316(1), Oct. 24, 1972, 86 Stat. 
1084, Sec. 1786; amended Pub. L. 93-508, title I, Sec. 104(1), Dec. 3, 
1974, 88 Stat. 1580; Pub. L. 93-602, title II, Sec. 205(a), Jan. 2, 
1975, 88 Stat. 1958; Pub. L. 94-502, title V, Secs. 501(1), 513(a)(18), 
Oct. 15, 1976, 90 Stat. 2398, 2403; Pub. L. 95-202, title I, 
Sec. 104(1), Nov. 23, 1977, 91 Stat. 1435; Pub. L. 96-466, title II, 
Secs. 203(2), 213(2), title VI, Sec. 604, Oct. 17, 1980, 94 Stat. 2189, 
2191, 2209; Pub. L. 97-35, title XX, Sec. 2004(a), Aug. 13, 1981, 95 
Stat. 782; Pub. L. 97-174, Sec. 5(a), May 4, 1982, 96 Stat. 75; Pub. L. 
97-295, Sec. 4(56), Oct. 12, 1982, 96 Stat. 1309; Pub. L. 98-543, title 
II, Sec. 204(1), Oct. 24, 1984, 98 Stat. 2742; Pub. L. 101-237, title 
IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3686 
and amended Pub. L. 102-83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 
406; Pub. L. 103-446, title VI, Sec. 605(a)(2)(C), Nov. 2, 1994, 108 
Stat. 4672.)


                               Amendments

    1994--Subsec. (c). Pub. L. 103-446 struck out ``(other than one 
subject to the provisions of section 3676 of this title)'' before ``may 
charge''.
    1991--Pub. L. 102-83, Sec. 5(a), renumbered section 1786 of this 
title as this section.
    Subsec. (a)(1). Pub. L. 102-83, Sec. 5(c)(1), substituted 
``3452(a)(1)'' for ``1652(a)(1)'' and ``3501(a)(1)(B)'' for 
``1701(a)(1)(B)''.
    Subsec. (c). Pub. L. 102-83, Sec. 5(c)(1), substituted ``3676'' for 
``1776''.
    1989--Subsecs. (a)(3), (b). Pub. L. 101-237 substituted 
``Secretary'' and ``Department of Veterans Affairs'' for 
``Administrator'' and ``Veterans' Administration'', respectively, 
wherever appearing.
    1984--Subsec. (a)(2). Pub. L. 98-543 substituted ``$376'' for 
``$342''.
    1982--Subsec. (a)(3). Pub. L. 97-174 added par. (3).
    Subsec. (c). Pub. L. 97-295 substituted ``percent'' for ``per 
centum'' wherever appearing.
    1981--Subsec. (a)(1). Pub. L. 97-35 substituted ``55'' for ``70''.
    1980--Subsec. (a)(1). Pub. L. 96-466, Sec. 604, substituted ``70 
percent'' for ``90 per centum''.
    Subsec. (a)(2). Pub. L. 96-466, Sec. 213(2), substituted ``$342'' 
for ``$327''.
    Pub. L. 96-466, Sec. 203(2), substituted ``$327'' for ``$311''.
    1977--Subsec. (a)(2). Pub. L. 95-202 substituted ``$311'' for 
``$292''.
    1976--Subsec. (a)(1). Pub. L. 94-502, Sec. 513(a)(18), substituted 
``spouse or surviving spouse'' for ``wife or widow'' wherever appearing.
    Subsec. (a)(2). Pub. L. 94-502, Secs. 501(1), 513(a)(18), 
substituted ``spouse or surviving spouse'' for ``wife or widow'' in two 
places and ``$292'' for ``$270''.
    Subsecs. (b), (c). Pub. L. 94-502, Sec. 513(a)(18), substituted 
``spouse or surviving spouse'' for ``wife or widow'' wherever appearing 
and ``such veteran's or spouse's'' for ``his''.
    1975--Subsec. (a)(2). Pub. L. 93-602 substituted ``$270'' for 
``$260''.
    1974--Subsec. (a)(2). Pub. L. 93-508 substituted ``$260'' for 
``220''.


                    Effective Date of 1994 Amendment

    Amendment by Pub. L. 103-446 applicable with respect to programs of 
education exclusively by correspondence and to correspondence-residence 
courses commencing more than 90 days after Nov. 2, 1994, see section 
605(b) of Pub. L. 103-446, set out as a note under section 3672 of this 
title.


                    Effective Date of 1984 Amendment

    Amendment by Pub. L. 98-543 effective Oct. 1, 1984, see section 205 
of Pub. L. 98-543, set out as a note under section 3108 of this title.


                    Effective Date of 1982 Amendment

    Section 5(b) of Pub. L. 97-174 provided that: ``The amendment made 
by subsection (a) of this section [amending this section] shall take 
effect as of October 1, 1981.''


                    Effective Date of 1981 Amendment

    Section 2004(b) of Pub. L. 97-35 provided that: ``The amendment made 
by subsection (a) [amending this section] shall not apply to 
correspondence lessons completed and submitted to the educational 
institution concerned before October 1, 1981.''


                    Effective Date of 1980 Amendment

    Amendment by sections 203(2) and 213(2) of Pub. L. 96-466 effective 
Oct. 1, 1980, and Jan. 1, 1981, respectively, see section 802(b) of Pub. 
L. 96-466, set out as a note under section 3482 of this title.
    Amendment by section 604 of Pub. L. 96-466 effective Oct. 1, 1980, 
except that such amendment not applicable to any person receiving 
educational assistance under chapter 34 or 35 of this title on Sept. 1, 
1980, for the pursuit of a program of education in which such person is 
enrolled on that date, for as long as such person continuously 
thereafter is so enrolled and meets the requirements of eligibility for 
such assistance for the pursuit of such program under the provisions of 
such chapter and chapter 36 of this title as in effect on that date, see 
section 802(f) of Pub. L. 96-466, set out as an Effective Date note 
under section 5314 of this title.


                    Effective Date of 1977 Amendment

    Amendment by Pub. L. 95-202 effective retroactively to Oct. 1, 1977, 
see section 501 of Pub. L. 95-202, set out as a note under section 101 
of this title.


                    Effective Date of 1976 Amendment

    Amendment by sections 501(1) and 513(a)(18) of Pub. L. 94-502 
effective Oct. 1, 1976, and Oct. 15, 1976, respectively, see section 
703(a), (b) of Pub. L. 94-502, set out as an Effective Date note under 
section 3693 of this title.


                    Effective Date of 1975 Amendment

    Amendment by Pub. L. 93-602 effective Jan. 1, 1975, see section 206 
of Pub. L. 93-602, set out as a note under section 3482 of this title.


                    Effective Date of 1974 Amendment

    Amendment by Pub. L. 93-508 effective Sept. 1, 1974, see section 501 
of Pub. L. 93-508, set out as a note under section 3482 of this title.


                             Effective Date

    Section 602 of Pub. L. 92-540 provided that:
    ``(a) The provisions of section 1786 [now 3686] of title 38, United 
States Code (as added by section 316 of this Act), which apply to 
programs of education exclusively by correspondence, shall, as to those 
wives and widows made eligible for such training by that section, become 
effective January 1, 1973, and, as to eligible veterans, shall apply 
only to those enrollment agreements which are entered into on or after 
January 1, 1973.
    ``(b) Notwithstanding the provisions of subsection (a) of this 
section, any enrollment agreement entered into by an eligible veteran 
prior to January 1, 1973, shall continue to be subject to the provisions 
of section 1682(c) of title 38, United States Code, prior to its repeal 
by section 303 of this Act.''


                    Termination of Eligibility Period

    Termination of eligibility period for a wife or widow, or an 
eligible person eight years from Oct. 24, 1972, see section 604 of Pub. 
L. 92-540, set out as a note under section 3512 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 3034, 3484, 3534 of this 
title; title 10 section 16136.
