Student Debt Repayment Fairness Act of 2015

Bill: 114-hr-3450
Sponsor: full_name: Rep. Kildee, Daniel T. [D-MI-5]
Introduced: 2015-09-08
Policy area: Education
Subjects: Consumer affairs

Consumer credit

Disability and paralysis

Higher education

Student aid and college costs
Latest action: action_date: 2015-09-08
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2015-09-08
action_desc: Introduced in House
text: <p><b>Student Debt Repayment Fairness Act of 2015</b></p> <p>Amends the Truth in Lending Act to prohibit a private educational lender from accelerating the repayment terms of the outstanding obligation of a borrower in good standing with respect to a particular private education loan if a cosigner jointly liable on the loan is unable to fulfill any obligations with respect to it by reason of death or disability.</p>

tv_txt: I 114th CONGRESS 1st Session H. R. 3450 IN THE HOUSE OF REPRESENTATIVES September 8, 2015 Mr. Kildee introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Truth in Lending Act to prohibit private educational lenders from requiring accelerated repayment of private education loans upon the death or disability of a cosigner of the loan.

1. Short title This Act may be cited as the Student Debt Repayment Fairness Act of 2015 . 2. Prohibition on requiring full repayment of private education loan upon death or disability of cosigner 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) Prohibition on accelerating repayment upon death or disability of a cosigner on a private education loan (1) In general If a cosigner who is jointly liable on a private education loan is unable to fulfill any obligations with respect to the loan by reason of death or disability, the private educational lender may not accelerate the repayment terms of any outstanding obligation if the borrower is in good standing (as determined by the Bureau) with respect to the loan. (2) Disability defined In this subsection, the term disability means a permanent and total disability, as determined in accordance with the regulations of the Secretary of Education under section 437(a) of the Higher Education Act of 1965 ( 20 U.S.C. 1087(a) ), or a determination by the Secretary of Veterans Affairs that the individual is unemployable due to a service-connected condition. .