S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8450
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               June 16, 2017
                                ___________
 
 Introduced  by  M. of A. ZEBROWSKI, ORTIZ, JAFFEE, JEAN-PIERRE, GUNTHER,
   SIMON, RAIA, MOSLEY, CRESPO, VANEL, SIMANOWITZ, GJONAJ,  BLAKE,  GALEF
   --  Multi-Sponsored  by  -- M. of A. COOK, LUPARDO, MAGEE -- read once
   and referred to the Committee on Banks
 
 AN ACT to amend the banking law, in relation  to  including  information
   concerning  repayment  of  outstanding loans in the standard financial
   aid award letter
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. Section 9-w of the banking law, as amended by section 1 of
 part CC of chapter 54 of the  laws  of  2016,  is  amended  to  read  as
 follows:
   §  9-w.  Standard  financial  aid award letter. The superintendent [of
 financial services] in consultation with the  president  of  the  higher
 education  services  corporation  shall develop a standard financial aid
 award letter which shall clearly delineate (a)  the  estimated  cost  of
 attendance,  including but not limited to, the cost of tuition and fees,
 room and board, books, and transportation. Such  standard  letter  shall
 provide  the  estimated cost of attendance for the current academic year
 as well as estimates for each academic year that the student would  need
 to  attend  to  earn a degree at such institution with a disclaimer that
 the cost of attendance for years other than the  current  academic  year
 are  estimates  and  may  be  subject  to  change, (b) all financial aid
 offered from the federal government, the state, and the institution with
 an explanation as to which components will require  repayment,  (c)  any
 expected  student and/or family contribution, (d) campus-specific gradu-
 ation, median borrowing, and loan default rates, [and] (e) THE ESTIMATED
 LOAN REPAYMENT IMPACT USING A  STANDARD  TEN  YEAR  REPAYMENT  TERM  AND
 ASSUMED INTEREST RATE ON THE CURRENT AMOUNT OF OUTSTANDING LOANS INCLUD-
 ING  TOTAL  EXPECTED  PAYOFF AMOUNT INCLUSIVE OF PRINCIPAL AND INTEREST,
 AND EXPECTED MONTHLY PAYMENT, AND (F) any other  information  as  deter-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD13073-01-7

 A. 8450                             2
 
 mined  by  the  superintendent  in consultation with the president. Such
 standard letter shall include a glossary of  standard  terms  and  defi-
 nitions  used  on such standard letter. The superintendent shall publish
 and  make  available  such standard letter by December thirty-first, two
 thousand fifteen and thereafter. Each college,  vocational  institution,
 and  any other institution that offers an approved program as defined in
 section six hundred one of the education law shall utilize the  standard
 letter  issued  by the department of financial services in responding to
 all  undergraduate  financial  aid  applicants  for  the  two   thousand
 sixteen--two thousand seventeen academic year and thereafter. The super-
 intendent shall promulgate regulations implementing this section.
   § 2. This act shall take effect immediately.