[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5322 Introduced in House (IH)]
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117th CONGRESS
1st Session
H. R. 5322
To amend the Consumer Financial Protection Act of 2010 to establish the
position of the Assistant Director and Student Loan Borrower Advocate
of the Bureau of Consumer Financial Protection, to establish the Office
for Students and Young Consumers of the Bureau, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
September 22, 2021
Ms. Bonamici (for herself, Ms. Porter, Ms. Dean, Ms. Tlaib, Ms. Norton,
and Mr. Case) introduced the following bill; which was referred to the
Committee on Education and Labor, and in addition to the Committee on
Financial Services, for a period to be subsequently determined by the
Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To amend the Consumer Financial Protection Act of 2010 to establish the
position of the Assistant Director and Student Loan Borrower Advocate
of the Bureau of Consumer Financial Protection, to establish the Office
for Students and Young Consumers of the Bureau, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Students and Young Consumers
Empowerment Act''.
SEC. 2. ASSISTANT DIRECTOR AND STUDENT LOAN BORROWER ADVOCATE.
(a) In General.--Section 1035 of the Consumer Financial Protection
Act of 2010 (12 U.S.C. 5535) is amended to read as follows:
``SEC. 1035. ASSISTANT DIRECTOR AND STUDENT LOAN BORROWER ADVOCATE.
``(a) Establishment.--There is established the position of
Assistant Director and Student Loan Borrower Advocate, who shall be
appointed by the Director.
``(b) Duties.--The Assistant Director and Student Loan Borrower
Advocate shall--
``(1) serve as the head of the Office for Students and
Young Consumers established under subsection (e);
``(2) not later than the end of the 60-day period beginning
on the date of enactment of this section, enter into a
memorandum of understanding with the Secretary of Education,
the Chief Operating Officer appointed under section 141(d) of
the Higher Education Act of 1965 (20 U.S.C. 1018(d)), and the
Student Loan Ombudsman appointed under section 141(f) of the
Higher Education Act of 1965 (20 U.S.C. 1018(f)) that--
``(A) ensures coordination in providing assistance
to and serving borrowers seeking to resolve complaints
related to their private education or Federal student
loans; and
``(B) authorizes the Bureau to access all relevant
Department of Education information systems, records,
and data, including any relevant information systems,
records, or data maintained by contractors of the
Department of Education;
``(3) accept and attempt to resolve complaints from
borrowers with both private education loans and Federal student
loans, including complaints against lenders, servicers, and
debt collectors; and
``(4) carry out such other duties as the Director may
determine appropriate.
``(c) Notification to Congress.--The Director shall provide written
notice and an explanation to the appropriate congressional committees,
if--
``(1) the position of the Assistant Director and Student
Loan Borrower Advocate has been vacant for a period of 60 days
or more; or
``(2) the memorandum of understanding required under
subsection (b)(2) has lapsed for a period of 60 days or more.
``(d) Reports.--
``(1) Annual report on the student loan marketplace.--The
Assistant Director and Student Loan Borrower Advocate shall--
``(A) compile and analyze complaints from borrowers
with Federal student loans or private education loans;
``(B) not less than once per year, submit a report
to Congress summarizing the activities of the Assistant
Director and Student Loan Borrower Advocate in the
previous year and including an independent evaluation
of risks to consumers posed by policies and practices
in the student loan marketplace; and
``(C) as part of each report submitted in
accordance with subparagraph (B), and any other time
deemed prudent by the Student Loan Borrower Advocate,
make recommendations to the Director, the Secretary of
the Treasury, the Secretary of Education, and the
appropriate congressional committees to address risk to
student loan borrowers and strengthen the student loan
marketplace.
``(2) Annual report on campus banking.--Not less than once
per year, the Assistant Director and Student Loan Borrower
Advocate shall issue a report to the appropriate congressional
committees analyzing the use of consumer financial products and
services by students enrolled at institutions of higher
education, including an evaluation of contracts and other
financial arrangements between institutions of higher education
and providers of consumer financial products and services,
including an evaluation of revenue sharing provisions,
marketing provisions, and fees assessed to students who use
such products and services.
``(3) Report on risks to young consumers.--Not less than
once per year, the Assistant Director and Student Loan Borrower
Advocate shall issue a report to the appropriate congressional
committees containing an analysis of complaints submitted to
the Bureau by young consumers during the previous year and
offering an independent evaluation of risks to consumers posed
by policies and practices in the marketplace for consumer
financial products and services.
``(e) Office for Students and Young Consumers.--There is
established an Office for Students and Young Consumers, which shall be
responsible for developing and implementing initiatives for students,
young consumers, and their families intended to--
``(1) educate and empower students, young consumers, and
their families to make better informed decisions regarding
consumer financial products and services; and
``(2) coordinate efforts among Federal and State agencies,
as appropriate, regarding consumer protection measures relating
to consumer financial products and services offered to, or used
by, students, young consumers, and their families.
``(f) Collection of Information; Market Monitoring.--
``(1) In general.--In carrying out this section, the
Assistant Director and Student Loan Borrower Advocate shall
have the authority to gather information from time to time
regarding the organization, business conduct, markets, and
activities of covered persons and service providers.
``(2) Sources of information.--In gathering information
described under paragraph (1), the Assistant Director and
Student Loan Borrower Advocate may gather and compile
information from a variety of sources, including examination
reports concerning covered persons or service providers,
consumer complaints, voluntary surveys and voluntary interviews
of consumers, surveys and interviews with covered persons and
service providers, and review of available databases.
``(3) Authority to require reports and other information.--
The Director shall, upon the recommendation of the Assistant
Director and Student Loan Borrower Advocate, require covered
persons and service providers participating in consumer
financial services markets to file with the Bureau, under oath
or otherwise, in such form and within such reasonable period of
time as the Bureau may prescribe by rule or order, annual or
special reports, answers in writing to specific questions, or
other information described under section 1022(c)(4).
``(4) Limitation.--The Bureau may not use its authorities
under this subsection to obtain records from covered persons
and service providers participating in consumer financial
services markets for purposes of gathering or analyzing the
personally identifiable financial information of consumers.
``(g) Definitions.--For purposes of this section:
``(1) Appropriate congressional committees.--The term
`appropriate congressional committees' means the Committees on
Education and Labor and Financial Services of the House of
Representatives and the Committees on Banking, Housing, and
Urban Affairs and Health, Education, Labor, and Pensions of the
Senate.
``(2) Truth in lending act terms.--The terms `private
education loan' and `institution of higher education' have the
meanings given those terms, respectively, under section 140 of
the Truth in Lending Act (15 U.S.C. 1650).''.
(b) Clerical Amendment.--The table of contents under section 1(b)
of the Dodd-Frank Wall Street Reform and Consumer Protection Act is
amended, in the item relating to section 1035, by striking ``Private
Education Loan Ombudsman'' and inserting ``Assistant Director and
Student Loan Borrower Advocate''.
SEC. 3. DUTIES OF THE DEPARTMENT OF EDUCATION.
Part D of title I of the Higher Education Act of 1965 (20 U.S.C.
1018 et seq.) is amended by adding at the end the following:
``SEC. 144. MEMORANDUM OF UNDERSTANDING WITH THE ASSISTANT DIRECTOR AND
STUDENT LOAN BORROWER ADVOCATE.
``Not later than the end of the 60-day period beginning on the date
of enactment of this section, the Secretary of Education, the Chief
Operating Officer appointed under section 141(d), and the Student Loan
Ombudsman appointed under section 141(f) shall enter into a memorandum
of understanding with the Assistant Director and Student Loan Borrower
Advocate of the Bureau of Consumer Financial Protection that--
``(1) ensures coordination in providing assistance to and
serving borrowers seeking to resolve complaints related to
their private education loans or loans made, insured, or
guaranteed under title IV; and
``(2) authorizes the Bureau to access all relevant
Department information systems, records, and data, including
any relevant information systems, records, or data maintained
by contractors of the Department.''.
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