Student Loan Scandal: House Votes for Sunshine; New Comparison of Proposed Reforms
As the student loan conflict-of-interest scandal keeps making headlines, policymakers have been considering ways to restrict or ban questionable college and lender practices. Yesterday, the U.S. House of Representatives passed the Student Loan Sunshine Act by a vote of 414 to 3. This legislation is a sorely needed step toward eliminating disturbing conflicts of interest that pervade the student loan system.
We have created a comparison document, Student Loan Reforms: Preventing Conflicts of Interest, describing the House bill and some other major legislative, regulatory and voluntary proposals. Issues covered include lender-college relationships, preferred lender lists, and disclosures to borrowers.
See our statement on the Student Loan Sunshine Act (HR 890)
Download Student Loan Reforms: Preventing Conflicts of Interest (pdf)
For a helpful chronology of the evolving scandal, see the New America Foundation’s special report.