SUBJECT:

PURPOSE:

Roosevelt Hearing Room C
Legislative Office Building, 2nd Floor
Monday, April 23, 2007
10:00 AM
Albany, New York

As the costs of higher education continue to rise, it has become increasingly difficult for students and their families to afford a postsecondary education. As a result, many students and their families are forced to take out educational loans to help pay for the costs of their education. This increased borrowing has helped to make the student loan industry an $85 billion per year business.

In January 2007, the Office of the Attorney General commenced a nationwide investigation into the student loan industry. This investigation, which is ongoing, has been examining the practices of and relationships between lenders and higher education institutions. Thus far, the investigation has revealed instances where some lenders and higher education institutions have steered students and their families into loans that are not in their best interest and engaged in practices that have created conflicts of interest.

Legislation is being introduced to address a number of the issues uncovered by the Attorney General's investigation. This hearing will seek testimony on the current practices of the student loan industry in New York State, methods to eliminate conflicts of interest between lenders and higher education institutions and ways to best protect and educate students and their families.

Persons invited to present pertinent testimony to the Committee at the above hearing should complete and return the reply form as soon as possible. It is important that the reply form be fully completed and returned so that persons may be notified in the event of emergency postponement or cancellation.

Ten copies of any prepared testimony should be submitted at the hearing registration desk. The Committee would appreciate advance receipt of prepared statements.

In order to meet the needs of those who may have a disability, the Legislature, in accordance with its policy of non-discrimination on the basis of disability, as well as the 1990 Americans with Disabilities Act (ADA), has made its facilities and services available to all individuals with disabilities. For individuals with disabilities, accommodations will be provided, upon reasonable request, to afford such individuals access and admission to Legislative facilities and activities.

PUBLIC HEARING REPLY FORM

Persons wishing to present testimony at the public hearing on the Accountability and Transparency of Student Loan Practices in New York State under the jurisdiction of the Assembly Higher Education Committee are requested to complete this reply form as soon as possible and email, mail or fax it to:

Lindsey Goodspeed
Committee Assistant
Assembly Committee on Higher Education
Room 508 - Capitol
Albany, New York 12248
Email: goodspl@assembly.state.ny.us
Phone: (518) 455-4881
Fax: (518) 455-4682

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