HB 836

85(R) - 2017

Vote Recommendation

  • Neutral
  • Neutral
  • Neutral
  • Neutral
  • Neutral


Travis Clardy

Bill Caption

Relating to a requirement that certain participating institutions under the student loan program administered by the Texas Higher Education Coordinating Board provide loan debt information to students.

Fiscal Notes

No significant fiscal implication to the State is anticipated. 

Bill Analysis

This bill would mandate institutions of higher learning annually provide students who enrolled as first time freshman students and have taken out student loans certain disclosures regarding those loans such as total amount of debt accrued to date, payoff amount, estimated monthly payments once the student enters the repayment period, etc. 

Vote Recommendation Notes

As government involvement in higher education and student loans has increased, so has the financial burden upon taxpayers and the next generation workforce. As most of these programs are taxpayer funded it is prudent for the state to ensure those who apply for these loans know what they are getting into. Though certainly not a guarantee, we hope that such a disclosure would give students pause before incurring large amounts of debt.

Conversely, we also believe it is the responsibility of each student to adequately research and understand their financial situation before taking out a loan.

SB 887 seeks to limit the cost of government by encouraging students not to take out risky taxpayer subsidized loans they can not afford but also seeks to place the state in a position to fulfill the due diligence responsibility that rightly belongs to students considering taking out loans. Due to these conflicting principles we remain neutral.