Title: Deferment for Active Cancer Treatment Act of 2018
Policy area: Education

Summary:
Deferment for Active Cancer Treatment Act of 2018
This bill amends the Higher Education Act of 1965 to allow borrowers to defer student loans while they are receiving cancer treatment and during the six months after treatment.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 3207 Introduced in Senate (IS)]

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115th CONGRESS
  2d Session
                                S. 3207

To amend the Higher Education Act of 1965 to allow for the deferment of 
certain student loans during a period in which a borrower is receiving 
                         treatment for cancer.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 12, 2018

  Mr. Nelson introduced the following bill; which was read twice and 
  referred to the Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
To amend the Higher Education Act of 1965 to allow for the deferment of 
certain student loans during a period in which a borrower is receiving 
                         treatment for cancer.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Deferment for Active Cancer 
Treatment Act of 2018''.

SEC. 2. STUDENT LOAN DEFERMENT FOR BORROWERS RECEIVING CANCER 
              TREATMENT.

    (a) Direct Loans.--Section 455(f) of the Higher Education Act of 
1965 (20 U.S.C. 1087e(f)) is amended--
            (1) by redesignating paragraphs (3) and (4) as paragraphs 
        (4) and (5), respectively; and
            (2) by inserting after paragraph (2) the following:
            ``(3) Deferment for borrowers receiving cancer treatment.--
                    ``(A) Effect on principal and interest.--A borrower 
                of a loan made under this part who meets the 
                requirements of subparagraph (B) shall be eligible for 
                a deferment, during which periodic installments of 
                principal need not be paid, and interest shall not 
                accrue.
                    ``(B) Eligibility.--A borrower of a loan made under 
                this part shall be eligible for a deferment during--
                            ``(i) any period in which such borrower is 
                        receiving treatment for cancer; and
                            ``(ii) the 6 months after such period.
                    ``(C) Applicability.--This paragraph shall apply 
                with respect to loans--
                            ``(i) made on or after the date of the 
                        enactment of this paragraph; or
                            ``(ii) in repayment on the date of the 
                        enactment of this paragraph.''.
    (b) Terms of Federally Insured Student Loans.--Section 427(a)(2)(C) 
of the Higher Education Act of 1965 (20 U.S.C. 1077(a)(2)(C)) is 
amended--
            (1) in clause (ii), by striking ``; or'' and inserting a 
        semicolon;
            (2) in clause (iii), by inserting ``or'' after the 
        semicolon; and
            (3) by inserting after clause (iii) the following:
                            ``(iv) in which the borrower is receiving 
                        treatment for cancer and the 6 months after 
                        such period;''.
    (c) FFEL Program.--Section 428(b)(1)(M) of the Higher Education Act 
of 1965 (20 U.S.C. 1078(b)(1)(M)) is amended--
            (1) in clause (iii), by striking ``or (II); or'' and 
        inserting a ``or (II);'';
            (2) in clause (iv), by inserting ``or'' after the 
        semicolon; and
            (3) by adding at the end the following:
                            ``(v) during which the borrower is 
                        receiving treatment for cancer and the 6 months 
                        after such period;''.
    (d) Federal Perkins Loans.--Section 464(c)(2) of the Higher 
Education Act of 1965 (20 U.S.C. 1087dd(c)(2)) is amended--
            (1) in subparagraph (A)--
                    (A) in clause (iv), by striking ``; or'' and 
                inserting a semicolon;
                    (B) in clause (v), by inserting ``or'' after the 
                semicolon; and
                    (C) by inserting after clause (v) the following:
                    ``(vi) during which the borrower is receiving 
                treatment for cancer and the 6 months after such 
                period;''.
    (e) Interest on Unsubsidized Stafford Loans.--Section 428H(e)(2) of 
the Higher Education Act of 1965 (20 U.S.C. 1078-8(e)(2)) is amended--
            (1) in subparagraph (A), by striking ``Interest'' and 
        inserting ``Except as provided in subparagraph (C), interest''; 
        and
            (2) by adding at the end the following:
            ``(C) Interest shall not accrue on a loan deferred under 
        section 428(b)(1)(M)(v) or 427(a)(2)(C)(iv).''.
    (f) Applicability.--The amendments made by this Act shall apply 
with respect to loans--
            (1) made on or after the date of the enactment of this Act; 
        or
            (2) in repayment on the date of the enactment of this Act.
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