cent or more of any class of voting securi-
ties of such other person; 
‘‘(II) the person controls, in any man-
ner, the election of a majority of the direc-
tors or trustees of such other person; or 
‘‘(III) the Secretary determines (after 
notice and opportunity for a hearing) that 
the person directly or indirectly exercises a 
controlling interest over the management 
or policies of such other person. 
‘‘(C) The Secretary shall maintain and update 
a list of lender affiliates of all eligible lenders, and 
shall provide such list to the eligible institutions for 
use in carrying out subparagraph (A).’’. 
SEC. 4. NOTICE OF AVAILABILITY OF FUNDS FROM FED-
ERAL SOURCES. 
Section 128 of the Truth in Lending Act (15 U.S.C. 
1638) is amended by adding at the end the following: 
‘‘(e) DISCLOSURES RELATING
TO PRIVATE EDU-
CATIONAL LOANS.—
‘‘(1) IN GENERAL.—In the case of an extension 
of credit that is a private educational loan, other 
than a loan secured by a dwelling or an open end 
credit plan, the creditor shall provide in every appli-
cation for such extensions of credit and together
with any solicitation, marketing, or advertisement of 
such extensions of credit, written, electronic, or oth-
erwise, the disclosures described in paragraph (2). 
‘‘(2) DISCLOSURES.—Disclosures required by 
this subsection shall include a clear and prominent 
statement—
‘‘(A) that the borrower may qualify for 
Federal financial assistance through a program 
under title IV of the Higher Education Act of 
1965, in lieu of or in addition to a loan from 
a non-Federal source; 
‘‘(B) that in many cases, a Federal stu-
dent loan may provide the consumer with more 
beneficial terms and conditions, including a 
lower annual percentage rate and fewer and 
lower fees, than private educational loans; 
‘‘(C) that the consumer may obtain addi-
tional information concerning such Federal fi-
nancial assistance from their institution of 
higher education or at the website of the De-
partment of Education; and 
‘‘(D) such other information as the Board 
may require. 
‘‘(3) CLEAR AND CONSPICUOUS DISCLOSURE.—
The disclosure required under paragraph (2) shall be
placed in a conspicuous and prominent location on 
or with any written application, solicitation, or other 
document or paper relating to any extension of cred-
it consisting of or involving a private educational 
loan for which such disclosure is required under this 
subsection. 
‘‘(4) WRITTEN
ACKNOWLEDGMENT
OF
RE-
CEIPT.—In each case in which a disclosure is pro-
vided pursuant to paragraph (2) and an application 
initiated, a creditor shall obtain a written acknowl-
edgment from the consumer that the consumer has 
read and understood the disclosure. 
‘‘(5) ADDITIONAL DISCLOSURES.—In the case 
of an extension of credit that is a private educational 
loan, other than a loan secured by a dwelling or an 
open end credit plan, the creditor shall make avail-
able, in a clear and accessible manner (including 
through the website of the creditor), the information 
required by sections 153(a)(1)(B)(iv) and (v) of the 
Higher Education Act of 1965. 
‘‘(6) PROVISION OF INFORMATION.—Before a 
creditor may issue any funds with respect to an ex-
tension of credit described in paragraph (1) for an 
amount equal to more than $1,000, the creditor 
shall notify the relevant postsecondary educational
institution, in writing, of the proposed extension of 
credit and the amount thereof. 
‘‘(7) REGULATORY AUTHORITY.—The Board—
‘‘(A) shall issue such rules and regulations 
as may be necessary to implement this sub-
section; and 
‘‘(B) may, by rule, establish appropriate 
exceptions to the requirements of this sub-
section. 
‘‘(8) DEFINITIONS.—As used in this subsection, 
the terms ‘private educational loan’ and ‘covered in-
stitution’ have the same meanings as in section 151 
of the Higher Education Act of 1965.’’. 
SEC. 5. IMPROVED INFORMATION CONCERNING THE FED-
ERAL STUDENT FINANCIAL AID WEBSITE. 
Section 131 of the Higher Education Act of 1965 (20 
U.S.C. 1015) is amended by adding at the end the fol-
lowing new subsection: 
‘‘(e) PROMOTION OF THE DEPARTMENT OF EDU-
CATION FEDERAL STUDENT FINANCIAL AID WEBSITE.—
The Secretary—
‘‘(1) shall display a link to the Federal student 
financial aid website of the Department of Edu-
cation in a prominent place on the homepage of the 
Department of Education website; and
‘‘(2) may use administrative funds available for 
the Department’s operations and expenses for the 
purpose of advertising and promoting the availability 
of the Federal student financial aid website. 
‘‘(f) PROMOTION OF AVAILABILITY OF INFORMATION 
CONCERNING STUDENT FINANCIAL AID PROGRAMS OF 
OTHER DEPARTMENTS AND AGENCIES.—
‘‘(1) AVAILABILITY
OF
INFORMATION.—The 
Secretary shall ensure that the eligibility require-
ments, application procedures, financial terms and 
conditions, and other relevant information for each 
non-departmental student financial assistance pro-
gram are easily accessible through the Federal stu-
dent financial aid website and are incorporated into 
the search matrix on such website in a manner that 
permits students and parents to readily identify the 
programs that are appropriate to their needs and eli-
gibility. 
‘‘(2) AGENCY
RESPONSE.—Each Federal de-
partment and agency shall promptly respond to sur-
veys or other requests for the information required 
by paragraph (1), and shall identify for the Sec-
retary any non-departmental student financial as-
sistance program operated, sponsored, or supported 
by such Federal department or agency.
‘‘(3) DEFINITION.—For purposes of this sub-
section, the term ‘non-departmental student finan-
cial assistance program’ means any grant, loan, 
scholarship, fellowship, or other form of financial aid 
for students pursuing a postsecondary education 
that is—
‘‘(A) distributed directly to the student or 
to the student’s account at the institution of 
higher education; and 
‘‘(B) operated, sponsored, or supported by 
a Federal department or agency other than the 
Department of Education.’’. 
Passed the House of Representatives May 9, 2007. 
Attest:
Clerk.