Section 1 Short title
This Act may be cited as the “Student Loan Relief for Medicare and Social Security Recipients Act of 2022”.
Student Loan Relief for Medicare and Social Security Recipients Act of 2022
A BILL
To direct the Secretary of Education to forgive the Federal student loans of borrowers who are enrolled for benefits under part A of title XVIII of the Social Security Act, and for other purposes.
Sec. 2 Federal student loan forgiveness for borrowers enrolled in Medicare
Forgiveness required— Notwithstanding any other provision of law, the Secretary of Education shall forgive the outstanding balance of principal, interest, and fees due on the eligible Federal student loans of borrowers who meet the requirements of subsection (b).
Eligibility— A borrower is eligible to receive forgiveness under this section if, at the time of application for forgiveness, such borrower is—
enrolled for benefits under part A of title XVIII of the Social Security Act (42 U.S.C. 1395c et seq.); or
in the 24-month waiting period for such benefits as described under section 226(b) of the Social Security Act (42 U.S.C. 426(b)).
Application— A borrower seeking forgiveness under this section shall submit to the Secretary of Education an application at such time, in such manner, and containing such information as the Secretary may require.
Method of loan forgiveness— As soon as practicable after the Secretary of Education confirms that an applicant meets the requirements of subsection (b), the Secretary of Education shall—
for each eligible Federal student loan of the borrower that is held by the Department of Education, cancel the outstanding balance of principal, interest, and fees due on the loan; and
for each eligible Federal student loan of the borrower that is not held by the Department of Education—
through the holder of a loan, assume the obligation to repay the outstanding balance of principal, interest, and fees due on the loan; and
upon assuming such obligation, cancel the outstanding balance of such principal, interest, and fees.
Repayment refunds prohibited— Nothing in this section shall be construed to authorize the refund of any payments made by a borrower on an eligible Federal student before the date on which the borrower’s loans are forgiven in accordance with this section.
Definitions— In this section:
Eligible Federal student loan— The term eligible Federal student loan means a loan—
received by a borrower at least 10 years before the date on which such borrower applies for forgiveness under subsection (c);
used to pay for—
the undergraduate or graduate education of the borrower; or
in the case of a loan made to a parent on behalf of a dependent student, the undergraduate or graduate education of such dependent student; and
made, insured, or guaranteed under—
part B, part D, or part E of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.), including a consolidation loan; or
part E of title VIII of the Public Health Service Act.
Fees— The term fees means any amounts owed by a borrower, other than principal and interest, on an eligible Federal student loan, including the amounts of any outstanding administrative fees, late charges, and collection costs.
Graduate education— The term graduate education means a postbaccalaureate program of study that leads to a graduate degree, including a master's or doctoral degree.
Institution of higher education— The term institution of higher education has the meaning given that term in section 102 of the Higher Education Act of 1965 (20 U.S.C. 1002).
Undergraduate education— The term undergraduate education means a postsecondary program of study at an institution of higher education that leads to a certificate, associate degree, or baccalaureate degree.