Bill Text: MI HB6245 | 2019-2020 | 100th Legislature | Introduced
Bill Title: Higher education: financial aid; student loan information; require certain colleges and universities to provide annually. Creates new act.
Spectrum: Moderate Partisan Bill (Democrat 6-1)
Status: (Introduced - Dead) 2020-09-23 - Bill Electronically Reproduced 09/22/2020 [HB6245 Detail]
Download: Michigan-2019-HB6245-Introduced.html
HOUSE BILL NO. 6245
September 22, 2020, Introduced by Reps.
Anthony, Hope, Shannon, Hammoud, Koleszar, Hood and Leutheuser and referred
to the Committee on Education.
the people of the state of michigan enact:
Sec. 1. This act shall be known and may be cited as the "student loan disclosure act".
Sec. 2. As used in this act, "institution of higher education" means either of the following:
(a) A state institution of higher education described in section 4, 5, or 6 of article VIII of the state constitution of 1963.
(b) A public community or junior college described in section 7 of article VIII of the state constitution of 1963.
Sec. 3. (1) Beginning in September 2021, an institution of higher education that receives federal education loan information or other student loan information regarding a student enrolled at the institution shall provide the following to the student on an annual basis at a time determined by the institution, but no later than July 1 each year:
(a) An estimate of the total amount of federal education loans or other student loans that are disbursed by the institution taken out by the student.
(b) Subject to section 4, an estimate of the total payoff amount of the federal education loans or other student loans that are disbursed by the institution incurred by the student enrolled at the institution of higher education, if the loans were to go into repayment as of the date of the annual notification under this section.
(c) The number of years used in determining the potential total payoff amount.
(d) Information on how the student can access online repayment calculators.
(2) An institution of higher education shall provide the information described in subsection (1) to students through first-class mail, electronic mail, an online portal, or other communication protocol established by the institution, including the institution's protocol for communicating grades.
Sec. 4. The information provided to a student under section 3 may include a statement that any estimate or range provided is general in nature and not intended to be a guarantee or promise of an actual projected amount. The statement must include a disclaimer that the information provided under section 3 pertains only to federal loans disbursed at the institution of higher education that is providing the information or any loans disbursed directly from the institution.
Sec. 5. (1) An institution of higher education shall not incur liability for any representation made under this act.
(2) An institution of higher education may comply with section 3 by contracting with a student loan servicer to provide the information required under section 3, if the student loan servicer provides the information required under section 3(1) in the manner required under section 3(2).
