Banking Committee
JOINT FAVORABLE REPORT
Bill No.: SB-890
Title: AN ACT CONCERNING STUDENT LOAN SERVICERS.
Vote Date: 3/9/2021
Vote Action: Joint Favorable Substitute
PH Date: 3/2/2021
File No.: 112
Disclaimer: The following JOINT FAVORABLE Report is prepared for the benefit of the
members of the General Assembly, solely for purposes of information, summarization and
explanation and does not represent the intent of the General Assembly or either chamber
thereof for any purpose.
SPONSORS OF BILL:
Banking Committee
REASONS FOR BILL:
Student loan debt is increasingly rising, and continued regulation of student loan servicers
with this bill will preserve the ability to enforce laws surrounding student loans.
The bill requires student loan servicers to register with the Department of Banking and to
comply with record requirements as well as consumer protection mandates that are
applicable to the student loan servicers. This bill will allow for further enforcement of
consumer protection laws for students with federal loans.
RESPONSE FROM ADMINISTRATION/AGENCY:
None Expressed
NATURE AND SOURCES OF SUPPORT:
Jorge Perez, Commissioner Dept of Banking
DOB believes that it is an effective way to continue enforcement of consumer protection laws
by changing the licensing requirement for federal student loans. Because this bill will change
it to a simple registration with no fee attached, we can continue to enforce the laws without
changing companies who service private student loans
NATURE AND SOURCES OF OPPOSITION:
None Expressed
Reported by: Courtney Berry / Dawn Marzik Date: 3/23/2021
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Statutes affected:
Raised Bill:
BA Joint Favorable Substitute:
File No. 112:
JUD Joint Favorable:
Public Act No. 21-130: