H. R. 5715 
One Hundred Tenth Congress 
of the 
United States of America 
AT THE SECOND SESSION 
Begun and held at the City of Washington on Thursday, 
the third day of January, two thousand and eight 
An Act 
To ensure continued availability of access to the Federal student loan program 
for students and families. 
Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This title may be cited as the ‘‘Ensuring Continued Access 
to Student Loans Act of 2008’’. 
SEC. 2. INCREASING UNSUBSIDIZED STAFFORD LOAN LIMITS FOR 
UNDERGRADUATE STUDENTS. 
(a) AMENDMENTS.—Subsection (d) of section 428H of the Higher 
Education Act of 1965 (20 U.S.C. 1078–8(d)) is amended to read 
as follows: 
‘‘(d) LOAN LIMITS.— 
‘‘(1) IN GENERAL.—Except as provided in paragraphs (2), 
(3), and (4), the annual and aggregate limits for loans under 
this section shall be the same as those established under section 
428(b)(1), less any amount received by such student pursuant 
to the subsidized loan program established under section 428. 
‘‘(2) LIMITS FOR GRADUATE AND PROFESSIONAL STUDENTS.— 
‘‘(A) ANNUAL LIMITS.—The maximum annual amount 
of loans under this section a graduate or professional stu-
dent may borrow in any academic year (as defined in 
section 481(a)(2)) or its equivalent shall be the amount 
determined under paragraph (1), plus— 
‘‘(i) in the case of such a student who is a graduate 
or professional student attending an eligible institu-
tion, $12,000; and 
‘‘(ii) in the case of a graduate student enrolled 
in coursework specified in sections 484(b)(3)(B) and 
484(b)(4)(B), $7,000; 
except in cases where the Secretary determines that a 
higher amount is warranted in order to carry out the 
purpose of this part with respect to students engaged in 
specialized training requiring exceptionally high costs of 
education, but the annual insurable limit per student shall 
not be deemed to be exceeded by a line of credit under 
which actual payments by the lender to the borrower will 
not be made in any years in excess of the annual limit. 
‘‘(B) AGGREGATE
LIMIT.—The maximum aggregate 
amount of loans under this section a student described 
in subparagraph (A) may borrow shall be the amount 
described in paragraph (1), adjusted to reflect the increased
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annual limits described in subparagraph (A), as prescribed 
by the Secretary by regulation. 
‘‘(3) LIMITS FOR UNDERGRADUATE DEPENDENT STUDENTS.— 
‘‘(A) ANNUAL LIMITS.—The maximum annual amount 
of loans under this section an undergraduate dependent 
student (except an undergraduate dependent student whose 
parents are unable to borrow under section 428B or the 
Federal Direct PLUS Loan Program) may borrow in any 
academic year (as defined in section 481(a)(2)) or its equiva-
lent shall be the sum of the amount determined under 
paragraph (1), plus $2,000. 
‘‘(B) AGGREGATE
LIMITS.—The maximum aggregate 
amount of loans under this section a student described 
in subparagraph (A) may borrow shall be $31,000. 
‘‘(4) LIMITS
FOR
UNDERGRADUATE
INDEPENDENT
STU-
DENTS.— 
‘‘(A) ANNUAL LIMITS.—The maximum annual amount 
of loans under this section an undergraduate independent 
student, or an undergraduate dependent student whose 
parents are unable to borrow under section 428B or the 
Federal Direct PLUS Loan Program, may borrow in any 
academic year (as defined in section 481(a)(2)) or its equiva-
lent shall be the sum of the amount determined under 
paragraph (1), plus— 
‘‘(i) in the case of such a student attending an 
eligible institution who has not completed such stu-
dent’s first 2 years of undergraduate study— 
‘‘(I) $6,000, if such student is enrolled in a 
program whose length is at least one academic 
year in length; or 
‘‘(II) if such student is enrolled in a program 
of undergraduate education which is less than one 
academic year, the maximum annual loan amount 
that such student may receive may not exceed 
the amount that bears the same ratio to the 
amount specified in subclause (I) as the length 
of such program measured in semester, trimester, 
quarter, or clock hours bears to one academic year; 
‘‘(ii) in the case of such a student at an eligible 
institution who has successfully completed such first 
and second years but has not successfully completed 
the remainder of a program of undergraduate edu-
cation— 
‘‘(I) $7,000; or 
‘‘(II) if such student is enrolled in a program 
of undergraduate education, the remainder of 
which is less than one academic year, the max-
imum annual loan amount that such student may 
receive may not exceed the amount that bears 
the same ratio to the amount specified in subclause 
(I) as such remainder measured in semester, tri-
mester, quarter, or clock hours bears to one aca-
demic year; and 
‘‘(iii) in the case of such a student enrolled in 
coursework specified in sections 484(b)(3)(B) and 
484(b)(4)(B), $6,000 for coursework necessary for
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enrollment in an undergraduate degree or certificate 
program. 
‘‘(B) AGGREGATE
LIMITS.—The maximum aggregate 
amount of loans under this section a student described 
in subparagraph (A) may borrow shall be $57,500. 
‘‘(5) CAPITALIZED INTEREST.—Interest capitalized shall not 
be deemed to exceed a maximum aggregate amount determined 
under subparagraph (B) of paragraph (2), (3), or (4).’’. 
(b) STUDENT ELIGIBILITY.—Loan limit increases authorized by 
the amendments made by this section shall be available only to 
students who meet the requirements of section 484(a) of the Higher 
Education Act of 1965 (20 U.S.C. 1091(a)). 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall be effective for loans first disbursed on or after July 1, 2008. 
SEC. 3. GRACE PERIOD FOR PARENT PLUS LOANS. 
(a) AMENDMENT.—Section 428B(d) of the Higher Education Act 
of 1965 (20 U.S.C. 1078–2(d)) is amended by amending paragraphs 
(1) and (2) to read as follows: 
‘‘(1) COMMENCEMENT OF REPAYMENT.—Repayment of prin-
cipal on loans made under this section shall— 
‘‘(A) commence not later than— 
‘‘(i) 60 days after the date such loan is disbursed 
by the lender, except as provided in clause (ii); and 
‘‘(ii) if agreed upon by a parent borrower, the day 
after 6 months after the date the student for whom 
the loan is borrowed ceases to carry at least one- 
half the normal full-time academic workload (as deter-
mined by the institution); and 
‘‘(B) be subject to deferral during any period during 
which the graduate or professional student or the parent 
meets the conditions required for a deferral under section 
427(a)(2)(C) or 428(b)(1)(M). 
‘‘(2) CAPITALIZATION OF INTEREST.— 
‘‘(A) IN GENERAL.—Interest on loans made under this 
section— 
‘‘(i) which accrues prior to the beginning of repay-
ment under paragraph (1)(A)(i), shall be added to the 
principal amount of the loan; and 
‘‘(ii) which accrues prior to the beginning of repay-
ment under paragraph (1)(A)(ii) or during a period 
in which payments of principal are deferred pursuant 
to paragraph (1)(B) shall, if agreed upon by the bor-
rower and the lender— 
‘‘(I) be paid monthly or quarterly; or 
‘‘(II) be added to the principal amount of the 
loan not more frequently than quarterly by the 
lender. 
‘‘(B) INSURABLE
LIMITS.—Capitalization of interest 
under this paragraph shall not be deemed to exceed the 
annual insurable limit on account of the borrower.’’. 
(b) CONFORMING AMENDMENT.—Section 428(b)(7)(C) of such Act 
(20 U.S.C. 1078(b)(7)(C)) is amended by striking ‘‘, 428B,’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall be effective for loans first disbursed on or after July 1, 2008.