S 909 · 113th Congress 2013–2015, ended

Responsible Student Loan Solutions Act

Fact sheet

Latest action · May 8, 2013 Read twice and referred to the Committee on Health, Education, Labor, and Pensions.

Progress

Where this bill reached, and when. A stage with no date was not reached; one that failed a vote and later carried shows the date it carried.

  1. IntroducedMay 8, 2013
  2. Passed SenateNot reached
  3. Passed HouseNot reached
  4. To the PresidentNot reached
  5. Became lawNot reached

Summary

Responsible Student Loan Solutions Act - Amends title IV (Student Assistance) of the Higher Education Act of 1965 to limit the unpaid amount of Direct Stafford loans that students may amass before completing their undergraduate education. Varies that limit on the basis of whether a student is a dependent student, independent student, or dependent student whose parents are unable to borrow a Direct PLUS loan.

Limits the amount of Direct Stafford loans that students may borrow in any academic year before the completion of their undergraduate studies. Varies that limit on the basis of whether a student: (1) is a dependent student, independent student, or dependent student whose parents are unable to borrow a Direct PLUS loan; and (2) has or has not successfully completed the first year or first and second years of their undergraduate studies.

Sets the annual interest rate on Direct loans at the bond equivalent rate on 91-day Treasury bills plus a percentage that: (1) represents the total cost of administering the Direct Loan program and borrower benefits, and (2) results in the program being revenue neutral for the applicable 12-month period. Allows the Secretary of Education to use different percentages under that formula for the Direct Stafford Loan, Unsubsidized Stafford Loan, PLUS Loan, and Consolidation Loan programs.

Caps the annual interest rate for Direct Stafford loans at 6.8%, and for Direct Unsubsidized Stafford loans and Direct PLUS and Consolidation loans at 8.25%

Directs the Secretary to charge the borrower of a Direct PLUS loan an origination fee of up to 3% of the loan principal.

Limits the applicability of the preceding provisions to loans first disbursed on or after July 1, 2013.

Authorizes the Secretary to refinance federal PLUS and Stafford loans to permit borrowers to obtain an interest rate determined pursuant to this Act's provisions.

Allows the Secretary to charge borrowers an administrative fee for refinancing such loans that does not exceed 0.5% of the loan principal.

Cosponsors 3

Members who signed on, in the order they did. Signatures ran from May 8, 2013 to Jul 11, 2013, with 1 there on the day it was introduced.

SeatCosponsorSigned on
D-ILRichard J. DurbinOriginalMay 8, 2013
D-HIBrian SchatzJun 17, 2013
D-MOClaire McCaskillJul 11, 2013

Actions 3

Everything that happened, newest first.

  1. May 8, 2013Introduced in Senate
  2. May 8, 2013Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
  3. May 8, 2013Sponsor introductory remarks on measure. (CR S3260-3261)

Related bills 1

Companion bills and other measures the record links to this one.

BillTitleRelationshipLatest action
HR 1946Responsible Student Loan Solutions ActIdentical billJul 8, 2013

Subjects

Assigned by the Library of Congress. Policy area: Education.

Text 1

Each version as it was printed, newest first.

  1. May 8, 2013Introduced in Senate

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Everything here is as published by Congress: the summary is the Congressional Research Service's, the action wording is the clerks', and the subjects are the Library of Congress's. How far it got is read from the actions themselves, taking the most recent one of each kind, so a bill that failed a vote and later passed is shown as having passed. Records come from this bill on Congress.gov and govinfo.gov.