H.R. 10220
SIMPLE Act
Summary:
• The SIMPLE Act amends the Higher Education Act of 1965 to require the Secretary of Education to notify borrowers who are at least 31 days delinquent on covered loans and, if still delinquent at 75 days, automatically enroll them in the lowest-payment income-driven repayment plan for which they are eligible.
• The bill establishes similar notification and automatic enrollment procedures for borrowers who are rehabilitating defaulted loans, triggering after the 6th rehabilitation payment with plan selection occurring after the 9th payment.
• The bill authorizes the Secretary to obtain borrowers' tax return information from the IRS to determine income and family size for repayment plan calculations, with borrowers able to opt out at any time.
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• The bill establishes similar notification and automatic enrollment procedures for borrowers who are rehabilitating defaulted loans, triggering after the 6th rehabilitation payment with plan selection occurring after the 9th payment.
• The bill authorizes the Secretary to obtain borrowers' tax return information from the IRS to determine income and family size for repayment plan calculations, with borrowers able to opt out at any time.
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