RED Act

Bill: 116-hr-4750
Sponsor: full_name: Rep. Clay, Wm. Lacy [D-MO-1]
Introduced: 2019-10-18
Policy area: Finance and Financial Sector
Subjects: Bankruptcy

Higher education

Student aid and college costs
Latest action: action_date: 2019-11-15
text: Referred to the Subcommittee on Antitrust, Commercial, and Administrative Law.

Summaries:
action_date: 2019-10-18
action_desc: Introduced in House
text: <p><b>Relief from Excessive Debt Act or the RED Act</b></p> <p>This bill permits a borrower to discharge in bankruptcy a nonprofit, government, or private student loan, or an obligation to repay an educational benefit, scholarship, or stipend.</p>

tv_txt: I 116th CONGRESS 1st Session H. R. 4750 IN THE HOUSE OF REPRESENTATIVES October 18, 2019 Mr. Clay introduced the following bill; which was referred to the Committee on the Judiciary A BILL To amend title 11 of the United States Code to make student loans dischargeable.

1. Short title This Act may be cited as the Relief from Excessive Debt Act or the RED Act . 2. Exception to discharge Section 523(a) of title 11, United States Code, is amended— (1) by striking paragraph (8); and (2) by redesignating paragraphs (9) through (14B) as paragraphs (8) through (14A), respectively. 3. Conforming amendments Title 11, United States Code, is amended— (1) in section 704(c)(1)(C)(iv)(I) by striking (14A) and inserting (14) ; (2) in section 1106(c)(1)(C)(iv)(I) by striking (14A) and inserting (14) ; (3) in section 1202(c)(1)(C)(iv)(I) by striking (14A) and inserting (14) ; and (4) in section 1328(a)(2) by striking (8), or (9) and inserting or (8) . 4. Effective date; application of amendments (a) Effective date Except as provided in subsection (b), this Act and the amendments made by this Act shall take effect on the date of the enactment of this Act. (b) Application of amendments The amendments made by this Act shall apply only with respect to cases commenced under title 11 of the United States Code on or after the date of the enactment of this Act.