PLATTSBURGH — Charles Schumer learned about the misleading nature of college loans the hard way.

With his youngest daughter heading off to college and the older one entering law school, the U.S. senator knew he needed to look into loans.

“I tried to go through the process with her,” he said. “It’s totally confusing.”

Specifically, it was difficult to tell what the rates would be, when the loans would be due and when interest would start being tacked on.

“You had to be Albert Einstein to figure out how much interest you will pay.”

Schumer hopes new legislation will clear up some of the confusion and prevent families from being unknowingly saddled with loads of debt.

CONFUSING PAPERWORK

He has unveiled a new federal plan to require complete disclosure of student-loan terms and fees on every application. It would require lenders to detail loan amounts, range of interest rates and any and all fees in a standardized, easy-to-read table on all applications.

And after students apply for loans and before signing promissory notes, the exact interest rate and other terms would be revealed in a second, mandatory disclosure form.

“A high-school graduate in upstate New York shouldn’t need a law degree to pick a loan for college,” Schumer said in a press release. “More and more college students and their families across the state use private student loans to pay for their college expenses. We need to make sure that students and their families get complete and unbiased information on all of their options, including any and all affordable loans.”

The problem, he said, is that many student-loan applications contain pages of fine print that often hide new fees, sudden rate changes and unfair terms. Some sections contain provisions contingent on sections found elsewhere in the application and that are sometimes only applicable to certain states.

“Some banks and lenders offer Web sites to supposedly clear up the confusion,” Schumer said, “but the Web sites simply attempt to clarify the company’s loan offer, rather than give students an opportunity to compare all rates and fees in the student-loan market.”

GROWING DEBT