Private Student Loan Bankruptcy Fairness Act of 2025

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Latest Action

Jan 15, 2025

Referred to the House Committee on the Judiciary.

Summaries (1)

Introduced in House - Jan 15, 2025 00

Private Student Loan Bankruptcy Fairness Act of 2025 This bill modifies the treatment of certain student loans in bankruptcy.Specifically, it allows private student loans to be discharged in bankruptcy regardless of whether a debtor demonstrates undue hardship. Under current law, student loans may be discharged in bankruptcy only if the loans impose an undue hardship on the debtor.

Actions (3)

Referred to the House Committee on the Judiciary.

Type: IntroReferral | Source: House floor actions | Code: H11100

Jan 15, 2025

Introduced in House

Type: IntroReferral | Source: Library of Congress | Code: Intro-H

Jan 15, 2025

Introduced in House

Type: IntroReferral | Source: Library of Congress | Code: 1000

Jan 15, 2025

Subjects (1)

Finance and Financial Sector (Policy Area)

Cosponsors (5)

Rep. Khanna, Ro [D-CA-17]

(D-CA)
May 1, 2025

Rep. Brownley, Julia [D-CA-26]

(D-CA)
Jan 15, 2025

Rep. Davis, Danny K. [D-IL-7]

(D-IL)
Jan 15, 2025

Rep. Moore, Gwen [D-WI-4]

(D-WI)
Jan 15, 2025

Rep. Swalwell, Eric [D-CA-14]

(D-CA)
Jan 15, 2025

Text Versions (1)

Introduced in House

Jan 15, 2025

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Full Bill Text

Length: 2,126 characters Version: Introduced in House Version Date: Jan 15, 2025 Last Updated: Nov 14, 2025 6:25 AM

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 423 Introduced in House

(IH) ]

<DOC>

119th CONGRESS
1st Session
H. R. 423

To amend title 11 of the United States Code to modify the
dischargeability of debts for certain educational payments and loans.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

January 15, 2025

Mr. Cohen (for himself, Mr. Davis of Illinois, Mr. Swalwell, Ms. Moore
of Wisconsin, and Ms. Brownley) introduced the following bill; which
was referred to the Committee on the Judiciary

_______________________________________________________________________

A BILL

To amend title 11 of the United States Code to modify the
dischargeability of debts for certain educational payments and loans.

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

SECTION 1.

This Act may be cited as the ``Private Student Loan Bankruptcy
Fairness Act of 2025''.

SEC. 2.

Section 523 (a) (8) of title 11, United States Code, is amended-- (1) by striking subparagraph (B) ; and (2) in subparagraph (A) -- (A) in clause (i) -- (i) by striking `` (i) ''; and (ii) by inserting ``any program for which substantially all of the funds are provided by a'' after ``unit or''; and (B) in clause (ii) -- (i) by striking `` (ii) '' and inserting `` (B) ''; and (ii) by striking ``or'' at the end.

(a)

(8) of title 11, United States Code, is amended--

(1) by striking subparagraph
(B) ; and

(2) in subparagraph
(A) --
(A) in clause
(i) --
(i) by striking ``
(i) ''; and
(ii) by inserting ``any program for which
substantially all of the funds are provided by
a'' after ``unit or''; and
(B) in clause
(ii) --
(i) by striking ``
(ii) '' and inserting
``
(B) ''; and
(ii) by striking ``or'' at the end.

SEC. 3.

(a) Effective Date.--Except as provided in subsection

(b) , this Act
and the amendments made by this Act shall take effect on the date of
the enactment of this Act.

(b) Application of Amendments.--The amendments made by this Act
shall apply only with respect to cases commenced under title 11 of the
United States Code on or after the date of the enactment of this Act.
<all>

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 423 Introduced in House

    (IH) ]

<DOC>

119th CONGRESS
 1st Session
 H. R. 423

 To amend title 11 of the United States Code to modify the 
 dischargeability of debts for certain educational payments and loans.

_______________________________________________________________________

 IN THE HOUSE OF REPRESENTATIVES

 January 15, 2025

Mr. Cohen (for himself, Mr. Davis of Illinois, Mr. Swalwell, Ms. Moore 
 of Wisconsin, and Ms. Brownley) introduced the following bill; which 
 was referred to the Committee on the Judiciary

_______________________________________________________________________

 A BILL

 To amend title 11 of the United States Code to modify the 
 dischargeability of debts for certain educational payments and 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 ``Private Student Loan Bankruptcy 
Fairness Act of 2025''.

SEC. 2. EXCEPTIONS TO DISCHARGE.

 

Section 523

    (a)

    (8) of title 11, United States Code, is amended--

    (1) by striking subparagraph
        (B) ; and

    (2) in subparagraph
        (A) --
        (A) in clause
            (i) --
            (i) by striking ``
            (i) ''; and
            (ii) by inserting ``any program for which 
 substantially all of the funds are provided by 
 a'' after ``unit or''; and
        (B) in clause
            (ii) --
            (i) by striking ``
            (ii) '' and inserting 
 ``
        (B) ''; and
            (ii) by striking ``or'' at the end.

SEC. 3. EFFECTIVE DATE; APPLICATION OF AMENDMENTS.

    (a) Effective Date.--Except as provided in subsection

    (b) , this Act 
and the amendments made by this Act shall take effect on the date of 
the enactment of this Act.

    (b) Application of Amendments.--The amendments made by this Act 
shall apply only with respect to cases commenced under title 11 of the 
United States Code on or after the date of the enactment of this Act.
 <all>

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119-hr423