Page:United States Statutes at Large Volume 112 Part 2.djvu/824

 112 STAT. 1708 PUBLIC LAW 105-244—OCT. 7, 1998 "(B) DATA.—An institution shall provide the Secretary with sufficient data to determine the institution's participation rate index within 30 days after receiving an initial notification of the institution's draft cohort default rate. "(C) NOTIFICATION.— Prior to publication of a final cohort default rate for an institution that provides the data described in subparagraph (B), the Secretary shall notify the institution of the institution's compliance or noncompliance with subparagraph (A).". (b) ELIGIBLE LENDER. —Section 435(d) (20 U.S.C. 1085(d)) is amended— (1) in paragraph (1)— (A) in subparagraph (A)(ii)— (i) by striking "or" after "1992,"; and (ii) by inserting before the semicolon the following: ", or (III) it is a bank (as defined in section 3(a)(1) of the Federal Deposit Insurance Act (12 U.S.C. 1813(a)(l)) that is a wholly owned subsidiary of a nonprofit foundation, the foundation is described in section 501(c)(3) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(1) of such Code, £Lnd the bank makes loans under this part only to undergraduate students who are age 22 or younger and has a portfolio of such loans that is not more than $5,000,000 "; (B) by striking "and" at the end of subparagraph (I); (C) by striking the period at the end of subparagraph (J) and inserting "; sind"; and (D) by adding at the end the following new subparagraph: "(K) a consumer finance company subsidiary of a national bank which, as of the date of enactment of this subparagraph, through one or more subsidiaries: (i) acts as a small business lending company, as determined under regulations of the Small Business Administration under section 120.470 of title 13, Code of Federal Regulations (as such section is in efiect on the date of enactment a of this subparagraph); and (ii) participates in the program authorized by this part pursuant to subparagraph (C), provided the national bank and all of the bank's direct and indirect subsidiaries taken together as a whole, do not have, as their primary consumer credit function, the making or holding of loans made to students under this part."; and (2) in paragraph (5), by adding at the end the following new sentence: "It shall not be a violation of this paragraph for a lender to provide assistance to institutions of higher education comparable to the kinds of assistance provided to institutions of higher education by the Department of Education.". (c) DEFINITION OF DEFAULT.— (1) AMENDMENT.— Section 435(1) is amended— (A) by striking "180 days" and inserting "270 days"; and Applicability. (B) by striking "240 days" and inserting "330 days". 20 USC 1085 (2) EFFECTIVE DATE.—The amendment made by paragraph °° *®* (1) shall apply with respect to loans for which the first day

�