The Protecting Students from Creditor Colleges Act (AB 1160) aims to protect students from the educational barriers and economic harms associated with institutional debt owed to institutions and extend consumer protections

To protect students in California from the economic harms caused by institutional debt we need to pass AB 1160. The Protecting Students from Creditor Colleges Act will extend critical consumer protections and address the state’s ballooning institutional debt crisis by: 

• Prohibiting institutions of higher education from barring a student from registering for courses or re-enrolling in a program simply because a student owes an institutional debt.

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• Barring institutions of higher education from withholding a degree that has been earned by a student simply because the student owes an institutional debt.

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• Ending the placement of institutional debts with for-profit third-party debt collectors, as well as prohibit the use of the Interagency Intercept Collection (IIC) Program operated by the California Franchise Tax Board.

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• Prodiving much-needed transparency on the growth and impact of institutional debt by requiring consistent data collection and reporting.