WASHINGTON – In an overwhelming 414 to 3 vote, the House of Representatives voted to ban gifts and payments by student loan companies to universities May 9.
The vote comes in the wake of several student loaner scandals, most prominently one in which lenders gave university officials company stock in return for preferred placement in lender recommendation materials. At least 22 colleges and four major student lenders have also signed on to a code of conduct developed by New York Attorney General Andrew Cuomo.
The bill has bipartisan support in the Senate. According to a Education Department official cited in the New York Times, the agency will move quickly to draft regulations to enforce the bill.
——Article Continues Below——
