Law signed to better educate students on loan debt
SPRINGFIELD – Illinois college students will have more information on hand to make financial decisions under legislation signed into law today by Governor Bruce Rauner. Senate Bill 2559 will require the Illinois Student Assistance Commission to develop a three-year pilot program to better educate students on loan amounts, repayment and interest.
Each public university and community college will be required to send an annual letter detailing the current loan and annual repayment amounts to all students with college loans.
“We’ve seen student debt skyrocket in recent years,” Rauner said. “This is an opportunity for those students to stay on top of the cost of education and the debt they are incurring.”
The legislation was sponsored in the Senate by Senator Steve Stadelman of Rockford.
“Thousands of Illinois students graduate from college each year and face the reality that they owe tens-of-thousands of dollars in student loans. For many of these students, it’s the first time they fully realize the expense of their education,” said Stadelman, D-Rockford. “This new law will ensure students know up-front about the cost of their education and can make better financial decisions to save them money later on.”