Bipartisan Student Loan Certainty Act of 2013

To amend the Higher Education Act of 1965 to establish interest rates for new loans made on or after July 1, 2013. 1. Short title This Act may be cited as the Smarter Solutions for Students Act 2. Student loan interest rates Section 455(b) of the Higher Education Act of 1965 ( 20 U.S.C. 1087e(b) (1) in paragraph (7)— (A) in the paragraph heading, by inserting , and before July 1, 2013 2006 (B) in subparagraph (A), by inserting and before July 1, 2013, 2006, (C) in subparagraph (B), by inserting and before July 1, 2013, 2006, (D) in subparagraph (C), by inserting and before July 1, 2013, 2006, (2) by redesignating paragraphs (8) and (9) as paragraphs (9) and (10), respectively; and (3) by inserting after paragraph (7), the following: (8) Interest rate provision for new loans on or after July 1, 2013 (A) Rates for fdsl and fdusl Notwithstanding the preceding paragraphs of this subsection, for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans for which the first disbursement is made on or after July 1, 2013, the applicable rate of interest shall, during any 12-month period beginning on July 1 and ending on June 30, be determined on the preceding June 1 and be equal to— (i) the high-yield 10-year Treasury notes auctioned at the final auction held prior to such June 1; plus (ii) 2.5 percent, except that such rate shall not exceed 8.5 percent. (B) PLUS Loans Notwithstanding the preceding paragraphs of this subsection, for any Federal Direct PLUS Loan for which the first disbursement is made on or after July 1, 2013, the applicable rate of interest shall, during any 12-month period beginning on July 1 and ending on June 30, be determined on the preceding June 1 and be equal to— (i) the high-yield 10-year Treasury notes auctioned at the final auction held prior to such June 1; plus (ii) 4.5 percent, except that such rate shall not exceed 10.5 percent. (C) Consolidation Loans Notwithstanding the preceding paragraphs of this subsection, any Federal Direct Consolidation Loan for which the application is received on or after July 1, 2013, shall bear interest at an annual rate on the unpaid principal balance of the loan that is equal to the weighted average of the interest rates on the loans consolidated, rounded to the nearest higher one-eighth of one percent. . 3. Budgetary effects (a) Paygo scorecard The budgetary effects of this Act shall not be entered on either PAYGO scorecard maintained pursuant to section 4(d) of the Statutory Pay-As-You-Go Act of 2010. (b) Senate paygo scorecard The budgetary effects of this Act shall not be entered on any PAYGO scorecard maintained for purposes of section 201 of S. Con. Res. 21 (110th Congress). May 20, 2013 Reported from the Committee on Education and the Workforce May 20, 2013 The Committee on the Budget

Summary: Bipartisan Student Loan Certainty Act of 2013 - (Sec. 2) Amends title IV (Student Assistance) of the Higher Education Act of 1965 (HEA) to set the annual interest rate on Direct Stafford loans and Direct Unsubsidized Stafford loans issued to undergraduate students at the rate on high-yield 10-year Treasury notes plus 2.05%, but caps that rate at 8.25%. Sets the annual interest rate on Direct Unsubsidized Stafford loans issued to graduate or professional students at the rate on high-yield 10-year Treasury notes plus 3.6%, but caps that rate at 9.5%. Sets the annual interest rate on Direct PLUS loans at the rate on high-yield 10-year Treasury notes plus 4.6%, but caps that rate at 10.5%. Limits the applicability of the preceding provisions to loans first disbursed on or after July 1, 2013. Fixes the interest rate on Direct Stafford loans, Direct Unsubsidized Stafford loans, and Direct PLUS loans for the period of the loan. Sets the annual interest rate on Direct Consolidation loans for which an application is received on or after July 1, 2013, at the weighted average of the interest rates on the loans consolidated, rounded to the nearest higher one-eighth of 1%. (Sec. 3) Provides that the budgetary effects of this Act shall not be entered on specified PAYGO scorecards. (Sec. 4) Directs the Comptroller General (GAO) to conduct a study and report to Congress on the actual cost to the federal government of carrying out the federal student loan programs authorized under title IV of the HEA.