Sec. 404. Online counseling tools
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Section 485 ( 20 U.S.C. 1092 ), as amended by this Act, is further amended by adding at the end the following: Beginning not later than 1 year after the date of enactment of the Affordable Loans for Any Student Act, the Secretary shall maintain— an online counseling tool that provides the exit counseling required under subsection
(b)and meets the applicable requirements of this subsection; and an online counseling tool that provides the counseling required under subsection (l), enables a borrower to electronically sign and accept the borrower’s student loan contract, and meets the applicable requirements of this subsection. In maintaining the online counseling tools described in paragraph (1), the Secretary shall ensure that each such tool, and its underlying content— are consumer tested, in consultation with other relevant Federal agencies, students, borrowers, institutions of higher education, secondary school and postsecondary counselors, and consumer advocacy organizations, to ensure that the tool is effective in helping individuals understand their rights and obligations with respect to borrowing a loan made under part D; are understandable to borrowers of loans made under part D; are freely available to all eligible institutions; and integrate applicable loan data from the National Student Loan Data System or a successor system, including data regarding loans made, insured, or guaranteed under this title and data regarding private education loans, pursuant to section 485B(i). The Secretary shall— use each online counseling tool described in paragraph
(1)to— keep a record of which individuals have received counseling using the tool; and notify the applicable institutions of the individual’s completion of such counseling; in the case of a borrower who receives counseling for a loan made under part D using the tool described in paragraph (1)(B)— enable the borrower to accept and electronically sign the student loan contract as required under section 455(c)(3)(B)(ii), and notify the applicable institutions that the individual completed the counseling and electronically signed the contract; and if the borrower chooses not to sign the student loan contract through the online counseling tool— inform the borrower, through the online counseling tool, of the date by when the borrower should accept and sign the student loan contract for which the borrower has received such counseling; and notify the applicable institution that the borrower completed the counseling but did not sign the student loan contract; and in the case of a borrower described in subsection (b)(1)(B) at an institution that uses the online counseling tool described in paragraph (1)(A) of this subsection, attempt to provide the information described in subsection (b)(1)(A) to the borrower through such tool. .
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Sec. 404
Online counseling tools
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