Friedman votes for bill to repeal professional licensure penalties for student loan default

BOSTON — On April 26, Senator Cindy Friedman (D-Arlington) joined her Senate colleagues in voting in favor of legislation to protect individuals who default on their educational loans from professional licensure penalties.

The bill, S.2266, An Act to prevent bureaucratic overreach in the collection of student debt, will repeal a state law passed in 1990, which created professional licensure consequences for educational loan defaulters.

Under existing law, the Massachusetts Educational Financing Authority (MEFA) and the Massachusetts Higher Education Assistance Corporation – a former loan guarantor that now operates as American Student Assistance, a national nonprofit – can request that a borrower’s state-issued professional or occupational certificate, registration or license be suspended, revoked or cancelled for default on educational loans made or administered by either entity.

“Paying back student loans has become an enormous financial burden for many residents across Massachusetts,” said Friedman. “Limiting a person’s ability to work makes it exponentially more difficult to make a living and pay back their loans. This bill dismantles potential obstacles to repaying student loan debt and implements protections for borrowers so that they can continue to work and pay off their debt.”

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