Page:United States Statutes at Large Volume 122.djvu/3275

 12 2 STA T .3 2 5 2 PUBLIC LA W 11 0– 315 — AU G .1 4, 200 8‘ ‘ (f)COST O FDI S CL OS UREAND CONSE Q UENCES OF N ONDISCLO - SURE .— ‘‘( 1 )NOCOSTTO B ORRO W ERS.— Thein f ormat ion re qu ire d under thi s se c tion sha l l b ea v ailable w ithout cost to the bor- rower. ‘‘( 2 ) CONSEQUENCES OF NONDISCLOSURE.—The failure of an eli g ible lender to p rovide information as required b y this section shall not— ‘‘( A ) relieve a borrower of the obligation to repay a loan in accordance with the loan ’ s terms or ‘‘( B ) provide a basis for a claim for civil damages. ‘‘( 3 ) R ULE OF CONSTRUCTION.—Nothing in this section shall be construed as sub j ecting the lender to the Truth in L ending Act with regard to loans made under this part. ‘‘( 4 ) ACTIONS B Y T H E SECRETARY.—The S ecretary may limit , suspend, or terminate the continued participation of an eligible lender in ma k ing loans under this part for failure by that lender to comply with this section.’’. (b) E FFECTI V E DATES.— (1) RE G ULAR DISCLOSURE REQUIRE M ENTS AND DISCLOSURE REQUIREMENTS TO BORROWERS HAVING DIFFICULTY MA K ING P AY- MENTS.— P aragraphs (1) and (2) of section 433(e) of the H igher Education Act of 1 965, as amended by subsection (a), shall apply with respect to loans for which the first payment is due on or after J uly1,2 0 09. (2) DISCLOSURE REQUIREMENTS FOR BORROWERS WITH DELINQUENT LOANS.—Section 433(e)(3) of the Higher Education Act of 1965, as amended by subsection (a), shall apply with respect to loans that become delinquent on or after July 1, 2009. SEC.435 .C ON S UM E R E D UC ATI ON IN F ORMATION. Part B (20 U .S.C. 10 7 1 et seq.) is amended by inserting after section 433 (20 U.S.C. 10 8 3) the following

‘SEC. 433A. CONSUMER EDUCATION INFORMATION. ‘‘(a) I N G ENERAL.—Each guaranty agency participating in a program under this part, working with the institutions of higher education served by such guaranty agency, shall develop and make available high-quality educational programs and materials to pro- vide training for students and families in budgeting and financial management, including debt management and other aspects of financial literacy, such as the cost of using high interest loans to pay for postsecondary education, particularly as budgeting and financial management relates to student loan programs authori z ed by this title. Such programs and materials shall be in formats that are simple and understandable to students and families, and shall be provided before, during, and after the students’ enrollment in an institution of higher education. The activities described in this section shall be considered default reduction activities for the purposes of section 422. ‘‘(b) RULE OF CONSTRUCTION.—Nothing in this section shall be construed to prohibit— ‘‘(1) a guaranty agency from using e x isting activities, pro- grams, and materials in meeting the requirements of this sec- tion; 20USC1 0 83a. 20 USC 1083 note .

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