< Back to S. 634 (113th Congress, 2013–2015)

Text of the Service Members Student Loan Relief Act

This bill was introduced on March 21, 2013, in a previous session of Congress, but was not enacted. The text of the bill below is as of Mar 21, 2013 (Introduced).

II

113th CONGRESS

1st Session

S. 634

IN THE SENATE OF THE UNITED STATES

March 21, 2013

(for himself, Mr. Blumenthal, and Mr. Baucus) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions

A BILL

To allow members of the Armed Forces and National Guard to defer principal on Federal student loans for a certain period in connection with receipt of orders for mobilization for war or national emergency, and for other purposes.

1.

Short title

This Act may be cited as the Service Members Student Loan Relief Act .

2.

Deferral for certain period in connection with receipt of orders for mobilization for war or national emergency

(a)

Federal Family Education Loans

Section 428(b)(1)(M) of the Higher Education Act of 1965 ( 20 U.S.C. 1078(b)(1)(M) ) is amended—

(1)

in the matter preceding clause (i), by striking , during any period;

(2)

in clause (i), by striking during which and inserting during any period during which;

(3)

in clause (ii), by striking during which and inserting during any period during which;

(4)

in clause (iii)

(A)

by striking during which and inserting during any period during which; and

(B)

in the matter following subclause (II), by striking or after the semicolon;

(5)

by redesignating clause (iv) as clause (vi);

(6)

by inserting after clause (iii) the following:

(iv)

in the case of any borrower who has received a call or order to duty described in subclause (I) or (II) of clause (iii), during the shorter of—

(I)

the period beginning on the date such call or order to duty is received by the borrower and ending on the first day of the service described in subclause (I) or (II) of clause (iii); and

(II)

the 180-day period preceding the first day of such service;

(v)

notwithstanding clause (iv)

(I)

in the case of any borrower described in such clause whose call or order to duty is cancelled before the first day of the service described in subclause (I) or (II) of clause (iii) because of a personal injury in connection with training to prepare for such service, during the period described in clause (iv) and during an additional period equal to the duration of such service, as specified by or otherwise determined in the original call or order to duty; and

(II)

in the case of any borrower whose call or order to duty is cancelled before the first day of such service for a reason other than an injury described in subclause (I), during the period beginning on the date the call or order to duty is received by the borrower and ending on the date that is 14 days after such call or order to duty is cancelled; and

; and

(7)

in clause (vi) (as redesignated by paragraph (5)), by striking not in excess and inserting during any period not in excess.

(b)

Direct Loans

Section 455(f)(2) of the Higher Education Act of 1965 (20 U.S.C. 1087e(f)(2)) is amended—

(1)

in the matter preceding subparagraph (A), by striking during any period;

(2)

in subparagraph (A), by striking during which and inserting during any period during which;

(3)

in subparagraph (B), by striking not in excess and inserting during any period not in excess;

(4)

in subparagraph (C)

(A)

by striking during which and inserting during any period during which; and

(B)

in the matter following clause (ii), by striking or after the semicolon;

(5)

by redesignating subparagraph (D) as subparagraph (F);

(6)

by inserting after subparagraph (C) the following:

(D)

in the case of any borrower who has received a call or order to duty described in clause (i) or (ii) of subparagraph (C), during the shorter of—

(i)

the period beginning on the date such call or order to duty is received by the borrower and ending on the first day of the service described in clause (i) or (ii) of subparagraph (C); and

(ii)

the 180-day period preceding the first day of such service;

(E)

notwithstanding subparagraph (D)

(i)

in the case of any borrower described in such subparagraph whose call or order to duty is cancelled before the first day of the service described in clause (i) or (ii) of subparagraph (C) because of a personal injury in connection with training to prepare for such service, during the period described in subparagraph (D) and during an additional period equal to the duration of such service, as specified by or otherwise determined in the original call or order to duty; and

(ii)

in the case of any borrower whose call or order to duty is cancelled before the first day of such service for a reason other than an injury described in clause (i), during the period beginning on the date the call or order to duty is received by the borrower and ending on the date that is 14 days after such call or order to duty is cancelled; and

; and

(7)

in subparagraph (F) (as redesignated by paragraph (5)), by striking not in excess and inserting during any period not in excess.

(c)

Perkins Loans

Section 464(c)(2)(A) of the Higher Education Act of 1965 ( 20 U.S.C. 1087dd(c)(2)(A) ) is amended—

(1)

in the matter preceding clause (i), by striking during any period;

(2)

in clause (i), by striking during which and inserting during any period during which;

(3)

in clause (ii), by striking not in excess and inserting during any period not in excess;

(4)

in clause (iii), by striking during which and inserting during any period during which;

(5)

by redesignating clauses (iv) and (v) as clauses (vi) and (vii), respectively;

(6)

by inserting after clause (iii) the following:

(iv)

in the case of any borrower who has received a call or order to duty described in subclause (I) or (II) of clause (iii), during the shorter of—

(I)

the period beginning on the date such call or order to duty is received by the borrower and ending on the first day of the service described in subclause (I) or (II) of clause (iii); and

(II)

the 180-day period preceding the first day of such service;

(v)

notwithstanding clause (iv)

(I)

in the case of any borrower described in such clause whose call or order to duty is cancelled before the first day of the service described in subclause (I) or (II) of clause (iii) because of a personal injury in connection with training to prepare for such service, during the period described in clause (iv) and during an additional period equal to the duration of such service, as specified by or otherwise determined in the original call or order to duty; and

(II)

in the case of any borrower whose call or order to duty is cancelled before the first day of such service for a reason other than an injury described in subclause (I), during the period beginning on the date the call or order to duty is received by the borrower and ending on the date that is 14 days after such call or order to duty is cancelled;

;

(7)

in clause (vi) (as redesignated by paragraph (5)), by striking not in excess and inserting during any period not in excess; and

(8)

in clause (vii) (as redesignated by paragraph (5)), by striking during which and inserting during any period during which.

(d)

Rule of construction

Nothing in the amendments made by this section shall be construed to authorize any refunding of any repayment of a loan.

(e)

Applicability

The amendments made by this section shall apply with respect to all loans made, insured, or guaranteed under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.).

3.

Conforming amendments

Title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1070 et seq. ) is further amended—

(1)

in section 428B(d)(1)(A)(ii) ( 20 U.S.C. 1078–2(d)(1)(A)(ii) ), by striking 428(b)(1)(M)(i)(I) and inserting or clause (i)(I), (iv), or (v) of section 428(b)(1)(M) ; and

(2)

in section 493D(a) ( 20 U.S.C. 1098f(a) ), by striking section 428(b)(1)(M)(iii), 455(f)(2)(C), or 464(c)(2)(A)(iii) and inserting clause (iii) or (iv) of section 428(b)(1)(M), subparagraph (C) or (D) of section 455(f)(2), or clause (iii) or (iv) of section 464(c)(2)(A) .