New accountability standards for private loan companies will soon be in place across the state, helping students make more informed choices about the loans they take out to pay for college, thanks to a measure introduced by State Senate Higher Education Chair Scott Bennett.
Senator Bennett introduced the Know Before You Owe Private Education Loan Act, which requires private lenders to confirm with a potential borrower’s school that the student’s tuition, housing, and other costs are not covered by other sources of financial aid. Additionally, the legislation, which Bennett worked on with the Illinois Attorney General’s office, requires colleges and universities to notify students about their federal loan eligibility before certifying private loans. House Bill 2746 was signed into law Thursday, and takes effect immediately
