101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
SB1342

 

Introduced 2/7/2019, by Sen. Martin A. Sandoval

 

SYNOPSIS AS INTRODUCED:
 
110 ILCS 947/71 new

    Amends the Higher Education Student Assistance Act. Requires the Illinois Student Assistance Commission to establish a student loan refinancing program for the purpose of purchasing any outstanding federal, State, or private student loans of an applicant who meets specified criteria, including Illinois residency. Provides that if the Commission refinances the loan of an applicant, the applicant must be charged the lowest possible interest rate for student loans in this State on the date the Commission approves the application. Provides that if at any time an individual who is participating in the refinancing program is no longer a resident of this State, the Commission may increase his or her loan interest rate. Requires the Commission to adopt rules.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Higher Education Student Assistance Act is
5amended by adding Section 71 as follows:
 
6    (110 ILCS 947/71 new)
7    Sec. 71. Student loan refinancing program.
8    (a) The Commission must establish and, each year, receive
9and consider applications under a student loan refinancing
10program for the purpose of purchasing any outstanding federal,
11State, or private student loans of an applicant who meets all
12of the following qualifications:
13        (1) He or she is a resident of this State.
14        (2) He or she has graduated from an institution of
15    higher learning or any other public or private
16    postsecondary institution in the United States.
17        (3) He or she is not in default on any student loan and
18    does not owe a refund or repayment on any State or federal
19    grant or scholarship.
20        (4) Any other criteria established by the Commission.
21    (b) If the Commission refinances the loan of an applicant
22under this Section, the applicant must be charged the lowest
23possible interest rate for student loans in this State on the

 

 

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1date the Commission approves the application. If at any time an
2individual who is participating in the refinancing program is
3no longer a resident of this State, the Commission may increase
4his or her loan interest rate.
5    (c) All applications under this Section must be made to the
6Commission on forms that the Commission shall provide. The
7Commission shall determine the form of application and the
8information required to be set forth in the application, and
9the Commission shall require applicants to submit with their
10applications any supporting documents that the Commission
11deems necessary.
12    (d) The Commission must adopt rules to implement this
13Section.