Definitions

In this Act: (1) Accrediting agency The term accrediting agency means a private educational association that acts as a reliable authority on the quality of education or training provided by an institution of higher education and is recognized by the Secretary under section 496 of the Higher Education Act of 1965 (20 U.S.C. 1099b). (2) Department Unless otherwise expressly provided, the term Department means the Department of Education. (3) Executive officer The term executive officer, with respect to a proprietary institution of higher education that is a publicly traded corporation, means— (A) the president of the corporation; (B) a vice president of the corporation who is in charge of a principal business unit, division, or function of the corporation, such as sales, administration, or finance; or (C) any other officer or person who performs a policy-making function for the corporation, including an executive officer of a subsidiary of the corporation if the officer performs a policy making function for the corporation. (4) Federal education assistance The term Federal education assistance when used with respect to a proprietary institution of higher education, means Federal funds that are disbursed or delivered by the Department, the Department of Veterans Affairs, or the Department of Defense to, or on behalf of, a student to be used for tuition, fees, instruction, or any other component of the student’s cost of attendance (as defined in section 472 of the Higher Education Act of 1965 (20 U.S.C. 1087ll)) to attend the institution. (5) Institutional debt The term institutional debt means any debt owed by a student or the parent of a student to an institution of higher education, including— (A) debt owed through a private loan program, income-share agreement, or other financing product operated by the institution; (B) debt owed from a return of student assistance made, insured, or guaranteed under title IV of the Higher Education Act 1965 (20 U.S.C. 1070 et seq.) to the Department; and (C) debt owed from the student’s nonpayment of institutional charges or fees. (6) Private education loan The term private education loan — (A) means a loan provided by a private educational lender (as defined in section 140(a) of the Truth in Lending Act (15 U.S.C. 1650(a))) that— (i) is not made, insured, or guaranteed under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.); (ii) is issued expressly for postsecondary educational expenses to a borrower, regardless of whether the loan is provided through the educational institution that the subject student attends or directly to the borrower from the private educational lender (as so defined); and (iii) is not made, insured, or guaranteed under title VII or title VIII of the Public Health Service Act (42 U.S.C. 292 et seq. and 296 et seq.); and (B) does not include an extension of credit under an open-end consumer credit plan, a reverse mortgage transaction, a residential mortgage transaction, or any other loan that is secured by real property or a dwelling. (7) Proprietary institution of higher education The term proprietary institution of higher education has the meaning given the term in section 102(b) of the Higher Education Act of 1965 (20 U.S.C. 1002(b)). (8) Recruiting and marketing activities (A) In general Except as provided in subparagraph (B), the term recruiting and marketing activities means activities that include any of the following: (i) Advertising and promotional activities, including paid announcements in newspapers, magazines, radio, television, billboards, electronic media, naming rights, or any other public medium of communication, including paying for displays or promotions at job fairs, military installations, or college recruiting events, that are made directly or indirectly to a student, a prospective student, the public, an accrediting agency, a State agency, or to the Secretary by a proprietary institution of higher education, one of its representatives, or any person with whom the institution has an agreement to provide educational programs, advertising, or admissions services. (ii) Misleading statement, misrepresentation, and substantial misrepresentation (as defined in section 668.71(c) of title 34, Code of Federal Regulations, or any successor regulation). (iii) Efforts to identify and attract prospective students, either directly or through a contractor or other third party, including contact concerning a prospective student’s potential enrollment or application for a grant, a loan, or work assistance under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.) or participation in preadmission or advising activities, including soliciting an individual to provide contact information to a proprietary institution of higher education, including through websites established for that purpose and funds paid to third parties for that purpose. (iv) Other activities as the Secretary may prescribe, including paying for promotion or sponsorship of education or military-related associations. (B) Exceptions Any activity that is required as a condition of the receipt of funds by an institution of higher education under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.), is specifically authorized under that title, or is otherwise specified by the Secretary, is not a recruiting and marketing activity under subparagraph (A). (9) Secretary Unless otherwise expressly provided, the term Secretary means the Secretary of Education. (10) State approval agency The term State approval agency means any State agency that determines whether an institution of higher education is legally authorized within the State to provide a program of education beyond secondary education. (11) Veterans service organization The term veterans service organization means an organization that is— (A) recognized by the Secretary of Veterans Affairs for the representation of veterans under section 5902 of title 38, United States Code; (B) congressionally chartered under title 36, United States Code, and serves or represents veterans; (C) recognized by the Secretary of Veteran Affairs under section 14.628 of title 38, Code of Federal Regulations (or a successor regulation), as a national organization, State organization, tribal organization, or regional or local organization; or (D) an organization that has a record of demonstrating expertise in, assists in, or serves the interests of veterans in education.