Recognizing Military Service in PSLF Act

Bill: 117-s-1480
Sponsor: full_name: Sen. Hassan, Margaret Wood [D-NH]
Introduced: 2021-04-29
Policy area: Education
Subjects: Government lending and loan guarantees

Higher education

Military personnel and dependents

National Guard and reserves

Student aid and college costs
Latest action: action_date: 2021-04-29
text: Read twice and referred to the Committee on Health, Education, Labor, and Pensions.

Summaries:
action_date: 2021-04-29
action_desc: Introduced in Senate
text: <p><strong>Recognizing Military Service in PSLF Act</strong></p> <p>This bill requires the Department of Education to count each month for which a borrower's federal student loan payment was in deferment or forbearance during a period of active duty, including certain National Guard duty, as a qualifying payment for the purpose of the Public Service Loan Forgiveness (PSLF) program.</p> <p>Under current law, a borrower who is a service member is eligible to receive student loan forgiveness under the PSLF program; however, if the borrower places their loan into deferment or forbearance while they are on active duty, that period of time does not count as a qualifying payment for the PSLF program.</p>

tv_txt: II 117th CONGRESS 1st Session S. 1480 IN THE SENATE OF THE UNITED STATES April 29, 2021 Ms. Hassan (for herself, Mr. Rubio , Mr. Kaine , Mr. Cramer , Mr. Reed , Ms. Murkowski , and Ms. Duckworth ) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To direct the Secretary of Education to deem each month for which certain Federal student loans are in deferment during a period of active duty service as months counted toward public service loan forgiveness.

1. Short title This Act may be cited as the Recognizing Military Service in PSLF Act . 2. Active duty deferment periods counted toward public service loan forgiveness Section 455(m) of the Higher Education Act of 1965 ( 20 U.S.C. 1087e(m) ) is amended— (1) by redesignating paragraphs (2) through (4) as paragraphs (3) through (5), respectively; (2) in paragraph (1), in the matter preceding subparagraph (A), by striking paragraph (2) and inserting paragraph (3) ; and (3) by inserting after paragraph (1) the following: (2) Active duty deferment periods Notwithstanding any other provision of this subsection, the Secretary shall deem each month for which a loan payment was in deferment under subsection (f)(2) of this section or for which a loan payment was in forbearance under section 685.205(a)(7) of title 34, Code of Federal Regulations, (or similar successor regulations), for a borrower described in subsection (f)(2)(C) as if the borrower of the loan had made a payment for the purpose of public service loan forgiveness under this subsection. .