[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 3538 Introduced in Senate (IS)]

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119th CONGRESS
  1st Session
                                S. 3538

To amend the Higher Education Act of 1965 to eliminate origination fees 
                        on Federal Direct loans.


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                   IN THE SENATE OF THE UNITED STATES

                           December 17, 2025

  Mr. Banks (for himself, Mr. Kaine, Mr. Booker, and Mr. Van Hollen) 
introduced the following bill; which was read twice and referred to the 
          Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
To amend the Higher Education Act of 1965 to eliminate origination fees 
                        on Federal Direct loans.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Student Loan Tax Elimination Act''.

SEC. 2. ELIMINATION OF ORIGINATION FEES ON FEDERAL DIRECT LOANS.

    (a) Repeal of Origination Fees.--Subsection (c) of section 455 of 
the Higher Education Act of 1965 (20 U.S.C. 1087e(c)) is repealed.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to loans made under part D of title IV of the Higher 
Education Act of 1965 (20 U.S.C. 1087a et seq.) for which the first 
disbursement of principal is made, or, in the case of a Federal Direct 
Consolidation Loan, the application is received, on or after July 1 
following the date of enactment of this Act.
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