STATE OF NEW JERSEY
218th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2018 SESSION
Sponsored by:
Senator SANDRA B. CUNNINGHAM
District 31 (Hudson)
Senator THOMAS H. KEAN, JR.
District 21 (Morris, Somerset and Union)
Senator M. TERESA RUIZ
District 29 (Essex)
Co-Sponsored by:
Senators Gordon, Greenstein and Pou
SYNOPSIS
Requires Higher Education Student Assistance Authority to obtain court order prior to using certain collection practices for defaulted loans under New Jersey College Loans to Assist State Students (NJCLASS) Loan Program.
CURRENT VERSION OF TEXT
As reported by the Senate Higher Education Committee with technical review.
An Act concerning the New Jersey College Loans to Assist State Students (NJCLASS) Loan Program and amending N.J.S.18A:71C-29.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. N.J.S.18A:71C-29 is amended to read as follows:
18A:71C-29. a. Unless expressly limited to federal programs, the information exchange, wage withholding, collection procedures, repayment determinations, and other provisions set forth under article 1 of this part shall apply to the NJCLASS Loan Program.
b. Notwithstanding any provision of law to the contrary, in the case of any NJCLASS loan in default status, the authority shall obtain a court order prior to pursuing any of the following collection efforts: offsetting a State income tax refund or State lottery prize winnings; initiating wage garnishment; or suspending an occupational and professional license.
(cf: N.J.S.18A:71C-29)
2. This act shall take effect immediately.