NJ A2121

Requires private education lenders, creditors, and student financing companies to register with the Commissioner of Banking and Insurance and the Nationwide Multistate Licensing System before extending loans to New Jersey residents, with civil penalties up to $25,000 per violation

Mandates cosigner protections including annual notices about cosigner release eligibility, limits on-time payment requirements for release eligibility to 12 consecutive payments for new loans, and prohibits permanent bars on cosigner release applications

Requires automatic release of cosigners and discharge of borrower liability upon determination of total and permanent disability, and prohibits loan acceleration or collection against a cosigner's estate except for payment default

Establishes documentation requirements for debt collectors attempting to collect private education loans, including proof of ownership chain, original loan documents, and transaction history, with 30-day response deadlines for borrower requests

Creates a 6-year statute of limitations for legal actions against borrowers, requires 30-180 day advance notice before acceleration or litigation, and allows borrowers to recover damages (minimum $500), attorney's fees, and treble damages for false filings