AG pushes ‘student loan bill of rights’
CHICAGO — Attorney General Lisa Madigan is pushing legislation aimed at protecting Illinois students who take out college loans.
The plan would establish a “student loan bill of rights” outlining information companies have to provide, including on all repayment options. It’d also require student loan servicers to get a state license and create a student loan ombudsman in the attorney general’s office.
The legislation follows Madigan’s lawsuit this year against the nation’s largest student loan company. The Democrat’s office accused Navient Corporation of unfair and deceptive practices with lending and debt collection. Navient disputes the allegations.
A Senate committee advanced the legislation with Democratic support. Republicans who opposed the plan didn’t immediately return messages.
Bill sponsor Sen. Daniel Biss says a full Senate vote could take place this week.