Massachusetts Senate OKs Bill Aimed At Student Loan Lenders
The Massachusetts Senate has passed a bill supporters are calling a student loan bill of rights.
The bill — approved unanimously by the Senate on Wednesday — aims to will help protect students from unfair, predatory, and deceptive practices from student lending and loan servicing companies.
The bill would require a new licensing regime for student loan companies and build on Democratic Attorney General Maura Healey's efforts to create a student loan ombudsman to be a one-stop shop to handle complaints of student loan abuse.
The proposal would also let the state Division of Banks better address student loan complaints.
The group MASSPIRG said similar bills have passed in Connecticut, Washington and Illinois and have been filed in a dozen other states.
The bill now goes to the Massachusetts House.