(a) The Banking Commissioner shall, within available appropriations, designate a Student Loan Ombudsman within the Department of Banking to provide timely assistance to any student loan borrower, as defined in section 36a-846, of any student education loan, as defined in section 36a-846.
(b) The Student Loan Ombudsman, in consultation with the commissioner, shall:
(1) Receive, review and attempt to resolve any complaints from student loan borrowers, including, but not limited to, attempts to resolve such complaints in collaboration with institutions of higher education, student loan servicers, as defined in section 36a-846, and any other participants in student loan lending, including, but not limited to, The University of Connecticut, the Board of Regents for Higher Education, the Office of Higher Education or the Connecticut Higher Education Supplemental Loan Authority;
(2) Compile and analyze data on student loan borrower complaints as described in subdivision (1) of this subsection;
(3) Assist student loan borrowers to understand their rights and responsibilities under the terms of student education loans;
(4) Provide information to the public, agencies, legislators and others regarding the problems and concerns of student loan borrowers and make recommendations for resolving those problems and concerns;
(5) Analyze and monitor the development and implementation of federal, state and local laws, regulations and policies relating to student loan borrowers and recommend any changes the Student Loan Ombudsman deems necessary;
(6) Review the complete student education loan history for any student loan borrower who has provided written consent for such review;
(7) Disseminate information concerning the availability of the Student Loan Ombudsman to assist student loan borrowers and potential student loan borrowers, as well as public institutions of higher education, student loan servicers and any other participant in student education loan lending, with any student loan servicing concerns; and
(8) Take any other actions necessary to fulfill the duties of the Student Loan Ombudsman as set forth in this subsection.
(c) On or before October 1, 2016, the Student Loan Ombudsman, in consultation with the commissioner, shall, within available appropriations, establish and maintain a student loan borrower education course that shall include educational presentations and materials regarding student education loans. Such program shall include, but not be limited to, key loan terms, documentation requirements, monthly payment obligations, income-based repayment options, loan forgiveness and disclosure requirements.
(d) On or before January 1, 2016, and annually thereafter, the Banking Commissioner shall submit a report, in accordance with the provisions of section 11-4a, to the joint standing committees of the General Assembly having cognizance of matters relating to banking and higher education. The commissioner shall report on: (1) The implementation of this section; (2) the overall effectiveness of the Student Loan Ombudsman position; and (3) additional steps that need to be taken for the Department of Banking to gain regulatory control over the licensing and enforcement of student loan servicers.
(e) (1) There is established an account to be known as the “student loan ombudsman account” which shall be a separate, nonlapsing account within the Banking Fund. The account shall contain the moneys described in subdivision (2) of this subsection and any other moneys required by law to be deposited in the account. Moneys in the account shall be expended by the Banking Commissioner for the purpose of administering the provisions of this section.
(2) The account established under subdivision (1) of this subsection shall contain any licensing or investigation fees collected pursuant to subsection (b) of section 36a-847.
(P.A. 15-162, S. 1.)