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HR 4603 116th Congress House Education Administrative law and regulatory procedures Administrative remedies Department of Education Higher education Interest, dividends, interest rates Student aid and college costs Tax administration and collection, taxpayers User charges and fees Wages and earnings

LOAN Act of 2019

Introduced: October 4, 2019 Introduced by: Carbajal, Salud O. Democratic · California See on congress.gov
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 Everywhere this bill has been 2 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Oct 4, 2019
Referred to the Committee on Education and Labor, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Oct 4, 2019
Introduced in House
 Plain-English summary Congressional Research Service

Leveraging Opportunities for Americans Now Act of 2019 or the LOAN Act of 2019

This bill revises interest rates and repayment plans for federal student loans.

Specifically, the bill directs the Department of Education (ED) to set the interest rate on federal student loans made on or after July 1, 2021, at 0% and replace the interest with a one-time financing fee.

The bill permits ED to credit or refund borrowers who pay the balance of their loan earlier than required by their repayment plan with the amount of the financing fee.

The bill establishes an income-dependent education assistance repayment plan as the default repayment plan for federal student loans. A borrower may select either this new plan or a 10-year fixed repayment plan.

ED must calculate annual repayment amounts and provide annual statements to borrowers.

The Department of the Treasury must transmit tax information to ED as necessary to determine a borrower's repayment obligations and financing fee adjustments.

What's happening now October 4, 2019

Referred to the Committee on Education and Labor, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

 Committees of jurisdiction 2