COVID–19 Student Loan Relief Extension Act

COVID-19 Student Loan Relief Extension Act

This bill extends certain temporary relief related to federal student loans and expands eligibility for such relief to additional types of loans.

Specifically, the bill extends the current suspension of payments due on federal student loans to 30 days after the end of the COVID-19 (i.e., coronavirus disease 2019) public health emergency. It also extends the suspension of interest due on these loans until the economy shows specified initial signs of recovery.

Further, the bill expands eligibility for temporary relief on federal student loans to include Federal Family Education Loans (FFELs) and Federal Perkins Loans that are not held by the Department of Education (ED) and certain health profession and nursing loans. (Currently, these temporary relief provisions are only applicable to certain Federal Direct Loans and FFELs that are held by ED.) Additionally, the bill makes this eligibility retroactive to March 13, 2020.

Finally, ED and the Department of Health and Human Services must carry out a program, beginning on August 1, 2021, to provide at least six notices to borrowers that normal payment obligations will resume.