10.10.07

Sallie Mae Demands SUNY Colleges Turn Over Students’ Personal Data

Posted in Student Loan News at 1:47 pm by moniqueleonard

This article made me cringe.  Only Sallie Mae could be so greedy that they would try to twist the Open Records law to fit their marketing needs!  Read the whole article from Higher Ed Watch, or read the excerpt below:

Sallie Mae Demands SUNY Colleges Turn Over Students’ Personal Data

Loan Giant Attempts to Use State Open Record Laws to Help it Market Private Loans

October 10, 2007

Late last month, student loan giant Sallie Mae filed a New York Freedom of Information Law request asking community colleges in the State University of New York (SUNY) system to provide the company with the names, telephone numbers, and home mailing and e-mail addresses of “all admitted and enrolled students for academic year 2007-2008.” The request, which came from the company’s Direct Marketing division, also asked the schools to identify the age, graduating class, and major of each student listed.

Such requests from direct-to-consumer private student loan companies are raising alarms among college financial aid administrators, who worry that the companies are trying to lure their students to take on unnecessarily high levels of debt. They have also caught the attention of the Education Department. In a letter to college officials in September, Diane Auer Jones, the Department’s Assistant Secretary for Postsecondary Education, warned them to be extremely careful about the types of information they release.

The Federal Family Education Rights and Privacy Act (FERPA) prohibits colleges from disclosing “personally identifiable information from a student’s education records” without that student’s written consent, with some limited exceptions. Schools, for instance, do not have to get a student’s permission before releasing “directory information,” which includes “the student’s name, address, telephone listing, e-mail address, major field of study, and other information that generally would not be considered harmful or an invasion of privacy,” Jones noted in her letter. Individual students, however, have the right to bar their colleges from releasing that type of information about them.

Some lenders have used open record requests to try to get colleges to provide them with lists of students who are in financial distress. One loan provider, for example, filed a particularly aggressive request with George Fox University in Oregon. In an e-mail message posted on an Internet discussion group for financial aid administrators, Robert A. Clarke, the university’s Financial Aid Director, reported that the lender had specifically asked for lists of students and recent graduates with federal loans and those who were delinquent in repaying them. According to Jones’ letter, colleges are prohibited from giving out information on “a student’s financial aid status” without that student’s authorization. In addition, “institutions are not required by FERPA,” she wrote, “to actively seek such consent.”

Sallie Mae appears to have carefully crafted its New York Freedom of Information Law request to ensure that the information it was seeking — all of which could be classified as “directory information” — was FERPA proof.

Read the whole article here.

2 Comments »

  1. [...] Original post by moniqueleonard [...]

  2. Maverick said,

    Nice posting! It was featured in this week’s edition of the Carnival of Open Records.

    Regards, Maverick


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