Service Members Student Loan Relief Act

To allow members of the Armed Forces and National Guard to defer principal on Federal student loans for a certain period in connection with receipt of orders for mobilization for war or national emergency, and for other purposes. 1. Short title This Act may be cited as the Service Members Student Loan Relief Act 2. Deferral for certain period in connection with receipt of orders for mobilization for war or national emergency (a) Federal Family Education Loans Section 428(b)(1)(M) of the Higher Education Act of 1965 ( 20 U.S.C. 1078(b)(1)(M) (1) in the matter preceding clause (i), by striking , during any period (2) in clause (i), by striking during which during any period during which (3) in clause (ii), by striking during which during any period during which (4) in clause (iii)— (A) by striking during which during any period during which (B) in the matter following subclause (II), by striking or (5) by redesignating clause (iv) as clause (vi); (6) by inserting after clause (iii) the following: (iv) in the case of any borrower who has received a call or order to duty described in subclause (I) or (II) of clause (iii), during the shorter of— (I) the period beginning on the date such call or order to duty is received by the borrower and ending on the first day of the service described in subclause (I) or (II) of clause (iii); and (II) the 180-day period preceding the first day of such service; (v) notwithstanding clause (iv)— (I) in the case of any borrower described in such clause whose call or order to duty is cancelled before the first day of the service described in subclause (I) or (II) of clause (iii) because of a personal injury in connection with training to prepare for such service, during the period described in clause (iv) and during an additional period equal to the duration of such service, as specified by or otherwise determined in the original call or order to duty; and (II) in the case of any borrower whose call or order to duty is cancelled before the first day of such service for a reason other than an injury described in subclause (I), during the period beginning on the date the call or order to duty is received by the borrower and ending on the date that is 14 days after such call or order to duty is cancelled; and ; and (7) in clause (vi) (as redesignated by paragraph (5)), by striking not in excess during any period not in excess (b) Direct Loans Section 455(f)(2) of the Higher Education Act of 1965 ( 20 U.S.C. 1087e(f)(2) (1) in the matter preceding subparagraph (A), by striking during any period (2) in subparagraph (A), by striking during which during any period during which (3) in subparagraph (B), by striking not in excess during any period not in excess (4) in subparagraph (C)— (A) by striking during which during any period during which (B) in the matter following clause (ii), by striking or (5) by redesignating subparagraph (D) as subparagraph (F); (6) by inserting after subparagraph (C) the following: (D) in the case of any borrower who has received a call or order to duty described in clause (i) or (ii) of subparagraph (C), during the shorter of— (i) the period beginning on the date such call or order to duty is received by the borrower and ending on the first day of the service described in clause (i) or (ii) of subparagraph (C); and (ii) the 180-day period preceding the first day of such service; (E) notwithstanding subparagraph (D)— (i) in the case of any borrower described in such subparagraph whose call or order to duty is cancelled before the first day of the service described in clause (i) or (ii) of subparagraph (C) because of a personal injury in connection with training to prepare for such service, during the period described in subparagraph (D) and during an additional period equal to the duration of such service, as specified by or otherwise determined in the original call or order to duty; and (ii) in the case of any borrower whose call or order to duty is cancelled before the first day of such service for a reason other than an injury described in clause (i), during the period beginning on the date the call or order to duty is received by the borrower and ending on the date that is 14 days after such call or order to duty is cancelled; and ; and (7) in subparagraph (F) (as redesignated by paragraph (5)), by striking not in excess during any period not in excess (c) Perkins Loans Section 464(c)(2)(A) of the Higher Education Act of 1965 ( 20 U.S.C. 1087dd(c)(2)(A) (1) in the matter preceding clause (i), by striking during any period (2) in clause (i), by striking during which during any period during which (3) in clause (ii), by striking not in excess during any period not in excess (4) in clause (iii), by striking during which during any period during which (5) by redesignating clauses (iv) and (v) as clauses (vi) and (vii), respectively; (6) by inserting after clause (iii) the following: (iv) in the case of any borrower who has received a call or order to duty described in subclause (I) or (II) of clause (iii), during the shorter of— (I) the period beginning on the date such call or order to duty is received by the borrower and ending on the first day of the service described in subclause (I) or (II) of clause (iii); and (II) the 180-day period preceding the first day of such service; (v) notwithstanding clause (iv)— (I) in the case of any borrower described in such clause whose call or order to duty is cancelled before the first day of the service described in subclause (I) or (II) of clause (iii) because of a personal injury in connection with training to prepare for such service, during the period described in clause (iv) and during an additional period equal to the duration of such service, as specified by or otherwise determined in the original call or order to duty; and (II) in the case of any borrower whose call or order to duty is cancelled before the first day of such service for a reason other than an injury described in subclause (I), during the period beginning on the date the call or order to duty is received by the borrower and ending on the date that is 14 days after such call or order to duty is cancelled; ; (7) in clause (vi) (as redesignated by paragraph (5)), by striking not in excess during any period not in excess (8) in clause (vii) (as redesignated by paragraph (5)), by striking during which during any period during which (d) Rule of construction Nothing in the amendments made by this section shall be construed to authorize any refunding of any repayment of a loan. (e) Applicability The amendments made by this section shall apply with respect to all loans made, insured, or guaranteed under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.). 3. Conforming amendments Title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1070 et seq. (1) in section 428B(d)(1)(A)(ii) ( 20 U.S.C. 1078–2(d)(1)(A)(ii) 428(b)(1)(M)(i)(I) clause (i)(I), (iv), or (v) of section 428(b)(1)(M) (2) in section 493D(a) ( 20 U.S.C. 1098f(a) section 428(b)(1)(M)(iii), 455(f)(2)(C), or 464(c)(2)(A)(iii) clause (iii) or (iv) of section 428(b)(1)(M), subparagraph (C) or (D) of section 455(f)(2), or clause (iii) or (iv) of section 464(c)(2)(A)

Summary: Service Members Student Loan Relief Act - Amends title IV (Student Assistance) of the Higher Education Act of 1965 to allow members of the Armed Forces and National Guard to defer payments of principal on their Federal Family Education Loans, William D. Ford Federal Direct Loans, and Federal Perkins Loans for the period (up to 180 days) beginning on the date they receive a call or order to duty in connection with a war, military operation, or national emergency and ending on their first day of service. (Currently, the payment of principal on those loans is also deferred during their period of service and for the 180-day period after their demobilization date.) Allows individuals whose call to duty is cancelled before their first day of service: (1) due to a service training injury, to defer payments of principal on those loans through what would have been their period of service; and (2) for a reason other than a service training injury, to defer payments of principal on those loans for 14 days after that cancellation.