Senator Clinton Applauds Passage of Measures to Address Student Lending Scandals and Help Student Borrowers and Non-Traditional Students

Press Release

Senator Clinton Applauds Passage of Measures to Address Student Lending Scandals and Help Student Borrowers and Non-Traditional Students

Senate Approves the Higher Education Amendments of 2007

Senator Hillary Rodham Clinton today announced that legislation approved by the Senate includes key provisions of bills she has introduced to address the recent student loan scandals, the need for increased transparency in student borrowing, and increased college access for low income and non-traditional students. The measures were approved as part of the Higher Education Amendments of 2007 and include provisions from Senator Clinton's Student Borrower Bill of Rights and Non-traditional Student Success Act.

"Student loans should be an investment in the future, but for too many they have become a barrier to following their dreams. I am proud that the Senate today has taken critical steps to reform the student loan industry and serve the best interests of our students," said Senator Clinton.

The Higher Education Amendments of 2007 will produce transparency in college costs for students, improve student achievement and the quality of America's teaching force by promoting strategies to recruit and prepare qualified teachers, and improve the financial literacy of students and their parents. The legislation will simplify the Free Application for Federal Student Aid (FAFSA) to improve the process of applying for student assistance and give families tools to plan for the cost of higher education. In addition, this bill will strengthen the TRIO/Upward Bound and the Gaining Early Awareness and Readiness of Undergraduate Programs, helping millions of low-income and first-generation students obtain fundamental educational tools to successfully pursue higher education.

The Higher Education Amendments of 2007 includes the following provisions from Senator Clinton's Student Borrower's Bill of Rights:

* Assistance for borrowers with disabilities: Allows disabled students to permanently discharge their student loans, with appropriate safeguards.
* Timely information: Requires lenders to provide borrowers monthly information about a borrower's loan, and pertinent information for borrowers in delinquency, default, or seeking to consolidate/reconsolidate.
* Accurate and comprehensive reporting to credit bureaus: Requires lenders to report student loans to credit bureaus as student loans, differentiating between student loans and other loans on credit reports.

Senator Clinton also secured approval of the following provisions from her Non-Traditional Student Success Act, which will make college more accessible and affordable for students who are older, working full or part-time, have children, or are the first in their families to go to college:

* Support for Parents: Allows High School Equivalency Program and College Assistance Migrant Program (HEP-CAMP) funds to be used for child care and transportation.
* Support for Non-traditional Students: Makes Pell grants available year round to providing the critical support these students need to complete their college education.
* Support for Foster Youth: Expands the definition of independent students to include youth in foster care, aging out of foster care or emancipated minors.

"The number of non-traditional students has been increasing dramatically on college campuses all across America. These students face unique challenges to completing their degree that include affording their education, balancing work, school, and family responsibilities, overcoming inadequate academic preparation, and navigating the college environment. This legislation will make it easier for adults to face these challenges so that they can improve their skills and increase their earnings," said Senator Clinton.

Senator Clinton also championed the inclusion of provisions to help place 10,000 new teachers in disadvantaged communities over the next three years and to increasing the college-going rates in disadvantaged communities.

Senator Clinton has long been a champion of higher education and supporting college students. Two of the provisions from her Student Borrower Bill of Rights were enacted into law during the 109th Congress through the Emergency Supplemental Appropriations Act for Defense 2006. Two of the provisions from her previously introduced Nontraditional Student Success Act were also enacted into law through the Deficit Reduction Act of 2005.

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