; and (II) for the discharge of the borrower and co-borrower's, if applicable, liability to repay the loan pursuant to paragraphs (19) and (20) of section 128(e) of the Truth in Lending Act ( 15 U.S.C. 1638(e) ). (ii) In this paragraph, the term disability means a permanent and total disability, as determined in accordance with the regulations of the Secretary of Education, or a determination by the Secretary of Veterans Affairs that the borrower is unemployable due to a service connected-disability. . (2) Effective date The amendment made by paragraph (1) shall take effect on the effective date of the regulations described in subsection (a)(3). (3) Preferred lender arrangement Section 151(8)(A)(ii) of the Higher Education Act of 1965 ( 20 U.S.C. 1019(8)(A)(ii) ) is amended by inserting certifying, after promoting, . (c) Report (1) In general Not later than 24 months after the issuance of regulations under subsection (a)(3), the Director of the Bureau of Consumer Financial Protection and the Secretary of Education shall jointly submit to Congress a report on the compliance of— (A) private educational lenders with section 128(e)(3) of the Truth in Lending Act ( 15 U.S.C. 1638(e) ), as amended by subsection (a); and (B) institutions of higher education with section 487(a)(28) of the Higher Education Act of 1965 ( 20 U.S.C. 1094(a) ), as amended by subsection (b). (2) Contents The report under paragraph (1) shall include information about the degree to which specific institutions utilize certifications in effectively— (A) encouraging the exhaustion of Federal student loan eligibility by borrowers prior to taking on private education loan debt