This bill establishes new regulations regarding the release of transcripts by institutions of higher education and proprietary institutions in New Jersey, particularly in relation to outstanding debts owed by students. Specifically, it prohibits these institutions from refusing to provide a transcript or conditioning its release on the payment of debts if the outstanding balance is $2,000 or less for non-mandatory charges. Additionally, institutions cannot charge higher fees or treat transcript requests less favorably based on a student's debt status, nor can they use transcript issuance as a means of debt collection. However, institutions may require students to enter into a good faith repayment plan if they owe any amount for mandatory fees or if their non-mandatory charges exceed $2,000.

The bill also includes a provision that allows students to obtain transcripts without restriction if they need them to apply for new student loans or refinance existing ones. Violations of these regulations are classified as unlawful practices under New Jersey's consumer fraud act, subjecting institutions to various remedies and penalties. Notably, the bill does not apply to the release of transcripts for students residing outside the United States.