Protect Taxpayers' Investments in Higher Education
Over $5.6 billion in federal, private and institutional loans awarded in NY annually
Abuses uncovered by Attorney General Cuomo show that:
- Students and parents are not provided clear and accurate information in order to make the best financial decisions
- Students are not getting the best financial loan packages, driving up their costs by thousands of dollars over the life of their loans
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In 2007, law was enacted regulating the student loan industry in NY - Student Lending, Accountability, Transparency and Enforcement Act (SLATE) - to protect students and families from unscrupulous lending practices.
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SED authorized to enforce comprehensive regulatory requirements. No appropriation was provided.
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Executive Budget proposal authorizes the Department to spend up to $1.2 million to carry-out this mandate through a Memorandum of Agreement with the Attorney General.
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As we negotiate this agreement, the Regents request $1.0 million to begin implementation. Staff are needed to investigate complaints, adjudicate violations and provide ongoing training to college personnel on how to comply with the law.
Full implementation of SLATE will protect over 1.3 million students attending 269 colleges and 450 non-degree granting proprietary schools and their parents.