Page:United States Statutes at Large Volume 122.djvu/3504

 12 2 STA T .348 1 PUBLIC LA W 11 0– 31 5— AU G .14 , 2008 ‘ ‘ (B)doesn o ti n clu de a ne x tension o f c r edit under ano p en end consu m er credit plan , are v erse mort g age transaction, a residential mortgage transaction, or an y ot h er loan that is secured b y real property or a d w elling and ‘‘( 8 ) the term ‘revenue sharing ’ means an arrangement between a covered educational institution and a private edu - cational lender under which — ‘‘( A ) a private educational lender provides or issues private education loans with respect to students attending the covered educational institution; ‘‘(B) the covered educational institution recommends to students or others the private educational lender or the private education loans of the private educational lender; and ‘‘( C ) the private educational lender pays a fee or pro- vides other material benefits, including profit sharing, to the covered educational institution in connection with the private education loans provided to students attending the covered educational institution or a borrower acting on behalf of a student . ‘‘(b) PROHIB I T IO N ONC E RT A IN G I F T S AN D ARRAN G E M ENTS.— A private educational lender may not, directly or indirectly— ‘‘( 1 ) offer or provide any gift to a covered educational institution in exchange for any advantage or consideration pro- vided to such private educational lender related to its private education loan activities; or ‘‘( 2 ) engage in revenue sharing with a covered educational institution. ‘‘(c) PROHIBITION ON CO-BRANDING.—A private educational lender may not use the name, emblem, mascot, or logo of the covered educational institution, or other words, pictures, or symbols readily identified with the covered educational institution, in the mar k eting of private education loans in any way that implies that the covered educational institution endorses the private education loans offered by the private educational lender. ‘‘(d) AD V ISOR Y BOARD COM P ENSATION.—Any person who is employed in the financial aid office of a covered educational institu- tion, or who otherwise has responsibilities with respect to private education loans or other financial aid of the institution, and who serves on an advisory board, commission, or group established by a private educational lender or group of such lenders shall be prohibited from receiving anything of value from the private educational lender or group of lenders. N othing in this subsection prohibits the reimbursement of reasonable expenses incurred by an employee of a covered educational institution as part of their service on an advisory board, commission, or group described in this subsection. ‘‘(e) PROHIBITION ON PREPAYMENT OR R EPAYMENT F EES OR PEN- A L TY.— I t shall be unlawful for any private educational lender to impose a fee or penalty on a borrower for early repayment or prepayment of any private education loan.’’. (b) CONFORMING AMENDMENT TO T R U TH IN L ENDING A C T.— S ection 1 03 (f) of the Truth in Lending Act (1 5U .S.C. 1 6 02(f)) is amended by adding at the end the following

‘‘The term ‘creditor’ includes a private educational lender (as that term is defined in section 1 4 0) for purposes of this title.’’. Defin i t i o n .

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