Section 1 Short title
This Act may be cited as the “Student Loan Opportunity Act of 2017”.
Student Loan Opportunity Act of 2017
A BILL
To amend the Internal Revenue Code of 1986 to allow qualified scholarship funding corporations to access tax-exempt financing for alternative private student loans.
Sec. 2 Qualified scholarship funding corporation tax-exempt financing for alternative private student loans
by striking “established and”,
by striking “incurred under the Higher Education Act of 1965”, and
by inserting “and performing student assistance related activities” after “student loan notes”.
Student assistance related activities— Section 150(d) of such Code is amended by adding at the end the following new paragraph:
“(4) Student assistance related activities—For purposes of this subsection, the term “student assistance related activities” includes maintaining loan documentation, handling communications with schools and borrowers, monitoring the student borrower’s location and continued enrollment, default prevention, offering borrower education and college access programs, borrower outreach and financial literacy training, disseminating information about student loan programs and higher education finance matters, and similar charitable and educational activities.”
Requalification as qualified scholarship funding corporation— Section 150(d) of such Code, as amended by subsection (b), is amended by adding at the end the following new paragraph:
“(5) Requalification as qualified scholarship funding corporation—A corporation that meets the requirements of subparagraphs (A) and (B) of section 150(d)(2) shall not fail to be treated as a qualified scholarship funding corporation solely because such corporation ceased to be a corporation described in section 150(d)(2) after the date of the enactment of the Health Care and Education Reconciliation Act of 2010.”
Effective date— The amendments made by this section shall apply to bonds issued after the date of the enactment of this Act.