Bill > SB057

This bill proposes several key provisions: 1. It amends the existing Colorado Student Loan Servicers Act to apply to private education lenders, creditors, and collection agencies for student loans not made, insured, or guaranteed under federal law and used for postsecondary education. 2. It requires private education lenders to register with the state administrator and provide information about their lending practices. 3. It mandates disclosures to cosigners on private education loans regarding how the loan will appear on their credit, how they will be notified of delinquencies, and the criteria for releasing them from the loan obligation. 4. It prohibits certain collection practices, such as permanently barring borrowers from cosigner release, and requires lenders to provide written notice before accelerating a loan due to default. 5. It establishes new consumer protections, including requirements for lenders and collection agencies to provide documentation about the loan history and ownership, and allows borrowers to bring civil actions for violations. Overall, the bill aims to increase oversight and transparency in the private student loan market in order to provide more robust consumer protections for borrowers in Colorado.

Budget and Finance, Education

https://leg.colorado.gov/bills/sb21-057