§ 5-20-201. Scope of Part – Construction With Other Laws – Legislative Declaration
The general assembly finds, determines, and declares that this part 2 is enacted to address issues not fully addressed through the regulation of student loan servicers under part 1 of this article 20. This part 2 is intended to complement, and should be construed in harmony with, part 1 of this article 20 to provide […]
§ 5-20-202. Definitions
As used in this part 2, unless the context otherwise requires: “Collection agency” means a collection agency, as defined in section 5-16-103 (3), that collects or attempts to collect, directly or indirectly, a consumer debt resulting from a private education loan. The term includes a debt buyer, as defined in section 5-16-103 (8.5). “Cosigner” means […]
§ 5-20-203. Registration of Private Education Lenders – Penalties – Rules
On or after September 1, 2021, a person shall not offer or make a private education loan to a resident of Colorado without first registering with the administrator as provided in this section. A private education lender shall: Register with the administrator pursuant to any registration procedures set forth by the administrator and pay the […]
§ 5-20-204. Cosigner Disclosures
Before extending a private education loan that requires a cosigner, a private education lender shall disclose to the cosigner: How the private education loan obligation will appear on the cosigner’s credit; How the cosigner will be notified if the private education loan becomes delinquent, including how the cosigner can cure the delinquency in order to […]
§ 5-20-205. Cosigner Release
A lender shall not impose any restriction that permanently bars a private education loan borrower from qualifying for cosigner release, including restricting the number of times a private education loan borrower may apply for Cosigner release. A lender shall not impose any negative consequences on a private education loan borrower or cosigner during the sixty […]
§ 5-20-206. Cosigner Rights
A lender shall provide a cosigner with access to all documents or records related to the cosigned private education loan that are available to the private education loan borrower. If a lender provides electronic access to documents and records for a private education loan borrower, it shall provide equivalent electronic access to the cosigner. Upon […]
§ 5-20-207. Bankruptcy or Death of Cosigner
If a cosigner dies, the lender shall not attempt to collect against the cosigner’s estate other than for payment default. With regard to the death or bankruptcy of a cosigner, if a private education loan is not more than sixty days delinquent at the time the lender is notified of the cosigner’s death or bankruptcy, […]
§ 5-20-208. Total and Permanent Disability of the Private Education Loan Borrower or Cosigner
For any private education loan issued on or after June 29, 2021, a private education lender, when notified of the total and permanent disability of a private education loan borrower or cosigner, shall release any cosigner from the obligations of the cosigner under a private education loan. The lender shall not attempt to collect a […]
§ 5-20-209. Refinancing – Additional Disclosures – Limitations on Default Pending Approval
Before offering a person a private education loan that is being used to refinance an existing education loan, a private education lender shall provide the person a disclosure explaining that benefits and protections applicable to the existing loan may be lost due to the refinancing. The disclosure must be provided on a one-page information sheet […]
§ 5-20-210. Prohibited Conduct
A private education lender shall not: Offer any private education loan that is not in conformity with this part 2 or rules or orders of the administrator under this part 2 or that violates any other state or federal law; Engage in any unfair, deceptive, or abusive act or practice; Take an assignment of earnings […]