The Increasing Student Financial Aid Awareness Act establishes new provisions regarding student loan information and transparency in Iowa. The Act mandates that the Iowa student loan liquidity corporation provide the Iowa college aid bureau with annual estimates of the federal direct plus loan's annual percentage rate, along with the assumptions used for these estimates. Additionally, the corporation is required to share information about its website, which includes potential rates for college family loans and partnership loans, as well as a comparison chart of these loans against the federal direct plus loan. The bureau will then analyze this information to ensure its accuracy and determine if the college family or partnership loans offer lower rates.

If the bureau finds that either the college family loan or partnership loan has a lower annual percentage rate than the federal direct plus loan, it must publish a statement on its website and notify higher education institutions to include this information in their financial aid offers. The statement will explain the benefits of the state-offered loans and provide necessary links to the relevant websites. The bureau is also tasked with updating this information as interest rates change and will inform institutions if the loans no longer offer a lower rate, thus ensuring that prospective students and their families are well-informed about their financial aid options.