Raised Bill No. 381 - Student Loan Bill of Rights Expansion

• Expands definitions and prohibited practices for student loan servicers, including a new ban on abusive acts or practices as defined in the Dodd-Frank Wall Street Reform and Consumer Protection Act when servicing student education loans

• Requires private education loan servicers to provide borrowers and cosigners with detailed information about cosigner rights, delinquency notification procedures, and cosigner release eligibility criteria, with annual written notices about cosigner release options

• Establishes specific cosigner release requirements: servicers must limit on-time payment requirements to no more than 12 consecutive months of principal and interest payments, provide decisions within 30 days, and cannot impose restrictions preventing borrowers from reapplying for release

• Creates a private right of action allowing student loan borrowers or classes of borrowers to sue servicers in Superior Court for violations, with remedies including actual damages, reasonable attorneys' fees, court costs, and treble damages if conduct interferes with loan forgiveness or other financial benefits

• Effective October 1, 2020