I 
114TH CONGRESS 
2D SESSION 
H. R. 6446 
To amend the Truth in Lending Act to provide private education loan forgive-
ness for certain borrowers, to require disclosures related to private edu-
cation loan default rates, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 6, 2016 
Mr. PALLONE (for himself, Mr. COHEN, Ms. MOORE, Mr. PAYNE, and Mrs. 
WATSON COLEMAN) introduced the following bill; which was referred to 
the Committee on Financial Services, and in addition to the Committee 
on Ways and Means, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall within 
the jurisdiction of the committee concerned 
A BILL 
To amend the Truth in Lending Act to provide private 
education loan forgiveness for certain borrowers, to re-
quire disclosures related to private education loan default 
rates, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Student Borrower 
Higher Education Lending Protection Act of 2016’’ or the 
‘‘Student Borrower HELP Act of 2016’’. 
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SEC. 2. PRIVATE EDUCATION LOAN FORGIVENESS FOR DE-
CEASED OR DISABLED STUDENTS. 
(a) AMENDMENTS TO TILA.—Section 140 of the 
Truth in Lending Act (15 U.S.C. 1650) is amended by 
adding at the end the following new subsection: 
‘‘(g) DEFERMENT OR DISCHARGE OF PRIVATE EDU-
CATION LOAN.— 
‘‘(1) TEMPORARY DISABILITY.—A student bor-
rower of a private education loan shall not be obli-
gated to make payments on the loan, and interest 
shall not accrue on the loan, during the period in 
which the student borrower is determined to be 
under a disability (as defined in section 216(i) or 
223(d) of the Social Security Act (42 U.S.C. 
416(i))). 
‘‘(2) DEATH OR TOTAL AND PERMANENT DIS-
ABILITY.—If a student borrower of a private edu-
cation loan dies or becomes totally or permanently 
disabled (as determined by the Secretary of Edu-
cation in accordance with section 437(a)(1) of the 
Higher 
Education 
Act 
of 
1965 
(20 
U.S.C. 
1087(a)(1))), any outstanding balance on the loan 
shall be deemed to be discharged, and the student 
borrower, any cosignor on the loan, or the estate of 
either the student borrower or the cosignor shall not 
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be obligated to make any additional payments on the 
loan.’’. 
(b) EXCLUSION
FROM
GROSS
INCOME.—Section 
108(f)(1) of the Internal Revenue Code of 1986 is amend-
ed— 
(1) by striking the period at the end and insert-
ing ‘‘, or’’, 
(2) by striking ‘‘if such discharge was pursuant 
to a provision’’ and inserting the following: ‘‘if such 
discharge was pursuant to— 
‘‘(A) a provision’’, and 
(3) by adding at the end the following: 
‘‘(B) section 140(g)(2) of the Truth in 
Lending Act.’’. 
SEC. 3. REQUIRED DISCLOSURES OF DEFAULT RATES FOR 
PRIVATE EDUCATION LOANS. 
Section 128(e) of the Truth in Lending Act (15 
U.S.C. 1638(e)) is amended— 
(1) in paragraph (1)— 
(A) in subparagraph (Q), by striking 
‘‘and’’ at the end; 
(B) by redesignating subparagraph (R) as 
subparagraph (S); and 
(C) by inserting after subparagraph (Q) 
the following new subparagraph: 
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‘‘(R) the number of private education loans 
offered by the private educational lender and 
the number and rate of default on such loans 
made by the lender; and’’; 
(2) in paragraph (2)— 
(A) in subparagraph (O), by striking 
‘‘and’’ at the end; 
(B) by redesignating subparagraph (P) as 
subparagraph (Q); and 
(C) by inserting after subparagraph (O) 
the following new subparagraph: 
‘‘(P) the number of private education loans 
offered by the private educational lender and 
the number and rate of default on such loans 
made by the lender; and’’; and 
(3) in paragraph (4), by striking ‘‘(M) through 
(P)’’ and inserting ‘‘(M) through (Q)’’. 
SEC. 4. EFFECTIVE DATE; APPLICABILITY. 
This Act and the amendments made by this Act— 
(1) shall take effect on the date that is 1 year 
after the date of the enactment of this Act; and 
(2) shall only apply to private education loans 
(as defined in section 140(a) of the Truth in Lend-
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ing Act (15 U.S.C. 1650(a))) entered into on or 
after the effective date described in paragraph (1). 
Æ 
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