Students would stop paying extra fees on Federal Direct loans.
This bill, called the "Student Loan Tax Elimination Act," would get rid of origination fees on Federal Direct loans. This means people taking out new Federal Direct loans or a Federal Direct Consolidation Loan would not pay these fees. The change would start for loans disbursed or applied for after July 1 following the bill's passage.
Today, people taking out Federal Direct loans pay an origination fee, which is a percentage of the loan amount. If this bill becomes law, these fees would be eliminated for new Federal Direct loans. They would also be eliminated for Federal Direct Consolidation Loans disbursed or applied for after July 1 following its passage. This means borrowers would receive the full loan amount without an upfront deduction.
S 3538 · 119th Congress · AI Summary by gemini-2.5-flash · 10/10
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5 filings mentioned this bill
Amounts reflect total quarterly lobbying spend reported to the Senate, not bill-specific spending. Source: Senate LDA filings.