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Referred to the House Committee on Education and Workforce.
Introduced February 27, 2025 by Maxine Waters · Last progress 1 year ago
Changes how income-driven student loan payments are calculated for certain parent borrowers. It sets a new definition of “partial financial hardship” that uses the borrower’s (and spouse’s) adjusted gross income, family size poverty threshold, and the standard 10‑year payment amount.
It updates Direct Loan and income-contingent repayment provisions to align with this new formula. The changes take effect upon enactment and apply to borrowers who have Parent PLUS loans (or consolidation loans that paid off Parent PLUS) and who are repaying under income-contingent or income-based repayment plans. This may alter who qualifies and how much they pay each month.