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Deery: Bill to limit transcript ransom practices passes committee

Contact: Lance Gideon, Press Secretary

Deery: Bill to limit transcript ransom practices passes committee

STATEHOUSE (Feb. 9, 2022) — A bill authored by State Sen. Spencer Deery (R-West Lafayette) that would limit scenarios in which public Indiana colleges may refuse transcript distribution to current and former students unanimously passed the Senate Committee on Education and Career Development Wednesday.

According to Ithaka S+R, around 138,000 Hoosiers owe an average of $2,800 to colleges and universities.

Senate Bill 404 would prohibit universities from withholding a transcript if a student paid at least $100 to $300 toward their debt within the last year, depending on the amount owed.

"This bill was crafted so current and former students at Indiana's colleges could continue to make progress toward their educational goals," Deery said. "Hoosier students who left school and have put forward a good faith effort to pay down their debts would be able to return to another institution and finish their degrees."

SB 404 does not forgive debt, but changes how universities can leverage transcripts in order to collect the money current and former students may owe the institution. An alternative practice already permitted by existing law is for institutions to intercept the tax refunds of those who owe money.

In recent years, Ivy Tech Community College stopped withholding transcripts because of the success in obtaining payment through tax intercepts.

The bill now moves to the full Senate for further consideration.

Legislative calendars, agendas, vote tallies, livestreams and proposed legislation can be viewed online by visiting


State Sen. Spencer Deery (R-West Lafayette) represents Senate District 23,
which includes Fountain, Parke, Vermillion and Warren counties,
and portions of Montgomery and Tippecanoe counties.
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