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HR 3624 112th Congress House Education Education programs funding Financial literacy Government lending and loan guarantees Higher education Public contracts and procurement Student aid and college costs

Student Loan Default Prevention Act

Introduced: December 8, 2011 See on congress.gov
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 Everywhere this bill has been 3 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Mar 29, 2012
Referred to the Subcommittee on Higher Education and Workforce Training.
Dec 8, 2011
Referred to the House Committee on Education and the Workforce.
Dec 8, 2011
Introduced in House
 Plain-English summary Congressional Research Service

Student Loan Default Prevention Act - Amends title IV (Student Assistance) of the Higher Education Act of 1965 to require the Secretary of Education, upon the request of an eligible guaranty agency, to enter into or revise a voluntary, flexible agreement with that agency to provide services to borrowers and potential borrowers of Federal Family Education Loans (FFELs) or Direct Loans (DLs).

Treats guaranty agencies as eligible to participate in such agreements if they have extensive and relevant experience and demonstrated effectiveness in providing such services.

Authorizes those guaranty agencies to provide services that include: (1) delinquency prevention and default aversion activities, (2) collecting defaulted loans, (3) monitoring institutions that participate in the DL program, (4) training financial aid officials, and (5) informational outreach to schools and students that supports access to higher education and financial literacy.

Requires the Secretary to pay fees to such agencies that are cost neutral and take into account the savings projected from the provision of such services.

What's happening now March 29, 2012

Referred to the Subcommittee on Higher Education and Workforce Training.

 Committees of jurisdiction 2
 Cosponsors 3
All 3 Democratic 3