IL HR0620

Urges Congress to restore full bankruptcy protections to all student loans, both private and federally guaranteed, which are currently categorically excluded from bankruptcy code protection.

Calls for reinstatement of standard consumer protections for student loan borrowers including statutes of limitation on debt collection, Truth in Lending Act protections, and the ability to refinance interest rates.

Notes that less than 1% of federally guaranteed loans were discharged in bankruptcy before the exclusion was enacted, and that both the Consumer Bankers Association and American Bankers Association opposed discriminatory treatment of student loans.

Contends that removal of consumer protections has coincided with exponential growth in college tuition costs and increased default rates, and that restoring protections will require the Department of Education to increase oversight and reduce tuition costs.

Directs that copies of the resolution be delivered to members of the Illinois congressional delegation.