Washington, DC – This week, the House Committee on Education and the Workforce passed out of committee the College Cost Reduction Act (H.R. 6951), which includes parts of the Understanding the True Cost of College Act (H.R. 1198) led by U.S. Representative Young Kim (CA-40) to improve and streamline the financial aid process for students and families.
The Understanding the True Cost of College Act would improve financial aid transparency by:
- Standardizing financial aid offer forms and ensures the Department of Education works with colleges, consumer groups, students, and school guidance counselors to develop standard definitions for award letters; and;
- Establishing basic minimums of information that must be included on page one of the uniform financial aid offer form.
“One major way to reduce student debt is by ensuring that students do not take on unnecessary debt in the first place. Students and their families must be able to have accurate information regarding educational opportunities and their cost,” said Rep. Kim. “After putting myself through school and raising four kids, I have experienced firsthand as a student and as a parent how confusing the financial aid process can be. The Understanding the True Cost of College Act aims to make the cost of college transparent and easier to understand so families and students can make clear informed decisions to reduce the chance of debt. I thank Chairwoman Foxx for including this commonsense bill in the College Cost Reduction Act, and I’ll keep fighting to get this across the finish line so future generations can achieve their dream.”
