78. A borrower is in default if the borrower
(1) avails himself or herself of or is subject to an Act relating to bankruptcy, insolvency or the protection of debtors;
(2) refuses, neglects or fails to enter into a repayment agreement; or
(3) refuses, neglects or fails to make a payment due under the repayment agreement and that refusal, negligence or failure extends beyond 30 days.