S. 4097 · On the floor · Education

State-Based Education Loan Awareness Act

Sponsor: Lisa Murkowski (R-AK)

What it does

• Exempts state-based education loan programs from the federal definition of preferred lender arrangements, reducing disclosure requirements that apply to arrangements where colleges recommend, promote, or endorse lender products.

Official summary

State-Based Education Loan Awareness Act This bill excludes certain arrangements or agreements regarding education loans from the definition of a preferred lender arrangement . A preferred lender arrangement is an arrangement or agreement between a lender and an institution of higher education (IHE) that receives federal funding or assistance (1) under which a lender issues education loans to students attending the IHE; and (2) that relates to the IHE recommending, promoting, or endorsing the education loan products of the lender. The bill provides that arrangements or agreements made under a state-based education loan program do not meet the definition of a preferred lender agreement for purposes of certain required disclosures to student borrowers.

Latest action

Aug 4, 2026: Placed on Senate Legislative Calendar under General Orders. Calendar No. 539.

Committee: Senate Health, Education, Labor, and Pensions