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12.—(1) The Secretary of State must pay, in accordance with regulation 13, the amount of loan an eligible student has applied for, provided that –
(a)the total amount of the loan does not exceed £25,000; and
(b)the amount applied for is to cover the matters referred to in paragraph 2(a) or (b) as applicable.
(2) Where the eligible student –
(a)is not an eligible prisoner, the loan is to cover the whole or part of the costs of undertaking a designated course;
(b)is an eligible prisoner, the loan is to cover the whole or part of the fees of a designated course (but not other costs of undertaking a designated course).