Bill > S04200

This bill amends the New York banking law to require student financial aid award letters to provide more comprehensive and transparent information about college costs and financial aid. Specifically, the bill mandates that these letters must clearly show the estimated cost of attendance for the current and future academic years, including expenses like tuition, fees, room and board, books, and transportation. The letters must also detail all financial aid from federal, state, and institutional sources, explicitly explaining which components require repayment. A new requirement is the inclusion of "net costs," which is defined as an estimate of attendance costs after subtracting financial aid that does not require repayment. Additionally, the letters must provide campus-specific graduation rates, median borrowing information, loan default rates, and options for loans that do require repayment. The bill requires a standard letter format with a glossary of terms, to be developed by the superintendent of financial services in consultation with the president of the higher education services corporation. All colleges and vocational institutions offering approved programs must use this standardized letter when responding to undergraduate financial aid applicants, helping students better understand their true financial obligations and aid package.

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https://www.nysenate.gov/legislation/bills/2025/S4200