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Easier Federal Student Loan Repayment: New Rules and Tax Deductions.

This bill introduces a new income-contingent repayment program for federal undergraduate student loans, making monthly payments dependent on income. Loans will be interest-free, and payments made can be tax-deductible, potentially easing the financial burden on many students and graduates.
Key points
New undergraduate student loans will be interest-free starting July 1, 2023.
Existing undergraduate student loans can be converted to interest-free loans starting July 1, 2023.
An income-contingent repayment plan will be implemented, with payments automatically withheld from wages based on income relative to the poverty line.
Low-income individuals (below 337% of the poverty line) will have $0 monthly payments.
After 360 monthly payments (30 years), any remaining loan balance will be canceled and will not be taxed.
Payments made on these loans will be tax-deductible, reducing taxable income.
Employers are prohibited from using information about an employee's loan balance against them.
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Expired
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Additional Information
Print number: 117_HR_8457
Sponsor: Rep. Cicilline, David N. [D-RI-1]
Process start date: 2022-07-21
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Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Making College More Affordable Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 117_HR_8457.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2022-07-21.

What are the main provisions?

Key points include:

  • New undergraduate student loans will be interest-free starting July 1, 2023.
  • Existing undergraduate student loans can be converted to interest-free loans starting July 1, 2023.
  • An income-contingent repayment plan will be implemented, with payments automatically withheld from wages based on income relative to the poverty line.
  • Low-income individuals (below 337% of the poverty line) will have $0 monthly payments.
  • After 360 monthly payments (30 years), any remaining loan balance will be canceled and will not be taxed.
  • Payments made on these loans will be tax-deductible, reducing taxable income.
  • Employers are prohibited from using information about an employee's loan balance against them.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Cicilline, David N. [D-RI-1].

What is the latest detailed status?

The latest detailed status is: Introduced in House

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-28.

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