Illinois Code § 5

§ 5.

Findings. The General Assembly finds and declares all of the following: (1) It is in the interest of this State to protect Illinois residents and their families from the predatory and deceptive practices of certain educational planning service providers. It is in the public interest to protect all Illinois families, but particularly the most vulnerable families, those who are of lower income, and those without prior college-going experience, from costly, deceptive, and predatory practices that have proliferated as the cost of postsecondary education has risen and anxiety about student loan debt has grown. (2) By charging an upfront premium, these entities can leave these most vulnerable families little or no recourse if they receive no services or if the services that they receive are inadequate. Additionally, many of the services offered by for-profit entities at a premium are readily available at no charge to all students through programs offered by public and not-for-profit organizations, such as the Illinois Student Assistance Commission, a local library, or an institution of higher learning. (3) Families with little knowledge of the college planning process, few financial resources, limited English proficiency, or a combination of these factors are particularly vulnerable to high pressure tactics that may be used to induce them to sign lengthy, highly technical, and costly contracts. Currently, there is no adequate recourse available to help families who have been victimized by opportunistic bad actors. (4) Some educational planning service providers have also provided legally questionable guidance to families who would like to reduce their higher education costs but would not typically qualify for grants based on financial need. Families have been counseled by disreputable educational planning service providers to take extreme and deceptive measures, such as relinquishing their parental responsibilities through a court-ordered legal guardianship so that the child qualifies as an independent student, thereby basing a need calculation on only the student's financial information, allowing the student to qualify for need-based aid. (5) Unrestrained, these types of deceptive practices are a barrier to higher education access and to the ideals of diversity, equity, and inclusion in higher education in this State, and it is in the public interest to regulate them. The Segura Law would be the first step in providing recourse and thereby security to aspiring Illinois college students and their families. (Source: P.A. 102-571, eff. 1-1-22.)