Q: Does the SLATE Act supersede a college’s code of conduct where the provisions are inconsistent?

A: It is the intention of the Attorney General that the SLATE Act will supersede the codes of conduct, although there may be provisions of certain codes of conduct that are not superseded. Therefore, it is strongly urged that if a college’s code of conduct differs from the SLATE Act, the college should seek an amendment to its agreement from the Attorney General.
Additional Information
Summary of HESC's Code of Conduct



Q: Does the following borrower disclosure language regarding loan processing satisfy the requirements of the SLATE Act?
"When you accept the federal Stafford Loan or PLUS Loan offered to you on your financial aid award letter, the University will process your loan through the New York State Higher Education Services Corporation (HESC) or your selected guarantor. If you have any questions, please contact your financial aid office."

A: Yes.


Q: May colleges accept HESC’s own brochures or promotional literature, e.g. loan instructions (wraps), exit brochures?

A: Yes.


Q: May colleges link to HESC’s e-MPN?

A: Yes.


Q: Does the selection of lenders from HESC's drop down box on the e-MPN satisfy the provision of the SLATE Act requiring the borrower to "enter" the lender code or name?

A: Yes.


Q: May HESC pay for any expenses in connection with college employees’ attendance at HESC’s School Advisory Group meeting?

A: HESC cannot provide any compensation or reimbursement of travel expenses. However, HESC may provide reasonable food and refreshments in connection with this activity.


Q: May colleges access HESC's Web based suite of software programs (EFT, e-MPN, Overture Payment Planner, Default Manager, Loan Certification)?

A: Yes.


Q: May colleges accept HESC default prevention grants recently awarded?

A: Yes, provided the award letter was sent prior to the date of the college’s signed code of conduct. If a college signed a code of conduct prior to receiving an award letter, it is strongly suggested that the college contact HESC so that we can seek guidance from the Attorney General.


Q: May colleges retain the HESC training grants awarded previously?

A: Yes.


Q: May colleges accept TAP and Pell Grants?

A: Yes.


**The above questions and answers have been reviewed and approved by the office of the Attorney General.

Date: April 30, 2007