118th Congress Education
H.R. 1216: Know Before You Owe Federal Student Loan Act of 2023
Introduced
- Introduced (completed)
- Passed House (not reached)
- Passed Senate (not reached)
- To the President (not reached)
- Became law (not reached)
Summary
This bill expands lender disclosure requirements and revises loan counseling requirements.
First, the bill requires a lender to provide a quarterly statement to a Federal Family Education Loan or Direct Loan borrower during a period when loan payments are not required. The statement must include specified information on the loan and interest amounts and explain the option to pay accrued interest while in deferment or forbearance.
In addition, the bill requires an institution of higher education (IHE) that participates in federal student-aid programs to provide pre-loan counseling to a student borrower of a federal student loan upon or prior to the first disbursement of each new loan. Currently, an IHE must provide one-time entrance counseling to a student who is a first-time federal student loan borrower.
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The bill also revises and expands required elements of pre-loan counseling to include an estimate of the borrower's monthly payment amount compared to the borrower's estimated monthly income after taxes and other expenses, a statement to borrow the minimum necessary amount, a warning that a high debt-to-income ratio makes repayment more difficult, options to reduce borrowing, and an explanation of the importance of on-time graduation.
Prior to certifying a Federal Direct Loan disbursement to a student, an IHE must ensure that the student manually enters the exact dollar amount of the loan.
Written by the Congressional Research Service, Library of Congress.
Roll calls
No roll call votes have been held on this bill.
Amendments
No amendments were offered to this bill.
Cosponsors
- Randy Feenstra R-IAOriginal
- Michael Guest R-MSOriginal
- Ashley Hinson R-IAOriginal
- Zachary (Zach) Nunn R-IAOriginal
- Ben Cline R-VA
- Erin Houchin R-IN
- Michael Lawler R-NY
Who scored on this bill
No member has earned points from it yet.
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Introductions and cosponsorships count toward weekly caps and show no points.
Other bills by Mariannette Miller-Meeks
History
- Introduced in the House by Mariannette Miller-Meeks.
Show the full action history (3 actions)
- Sponsor introductory remarks on measure. (CR H976)
- Introduced in House
- Referred to the House Committee on Education and the Workforce.