Hochul Signs NY Law Ending 22% Fee on Student Debt Collection

New York students will no longer be charged an additional fee on the collection of educational loans by state agencies.

Governor Kathy Hochul signed a law ending a practice that charged a 22% fee when enforcing debt collection on student loans. The extra dollars were added on top of the total debt due and were initially used to recoup collection costs, according to a statement from the governors office on Thursday.