N.Y. Financial Services Law § 703: Disclosure requirements

§ 703. Disclosure requirements. (a) A student debt consultant shall

clearly and conspicuously disclose in all advertisements:

(1) the actual services the consultant provides to borrowers;

(2) that borrowers may apply for consolidation loans from the United

States department of education at no cost, including providing a direct

link in all online advertising and contact information in all print

advertising to the application materials for a Direct Consolidation Loan

from the United States department of education;

(3) that consolidation or other services offered by the consultant may

not be the best or only option for borrowers;

(4) that alternative federal student loan repayment plans, including

income-based programs, that do not require consolidating existing

federal student loans may be available; and

(5) that borrowers should consider consulting their student loan

servicer before signing any legal document concerning a student loan.

(b) The disclosures required by subsection (a) of this section, if

disseminated through print media or the internet, shall be clearly and

legibly printed or displayed in not less than twelve-point bold type,

or, if the advertisement is printed to be displayed in print that is

smaller than twelve point, in bold type print that is no smaller than

the print in which the text of the advertisement is printed or

displayed.

(c) The provisions of this section shall apply to all consultants who

disseminate advertisements in the state of New York or who intend to

directly or indirectly contact a borrower who has a student loan and is

a resident of or a student in New York state. Consultants shall

establish and at all times maintain control over the content, form and

method of dissemination of all advertisements of their services.

Further, all advertisements shall be sufficiently complete and clear to

avoid the possibility to mislead or deceive.