Foster Introduces Parents PLUS Loan Fairness and Responsibility Act
Washington, DC — Today, Congressman Bill Foster (D-IL) introduced the Parents PLUS Loan Fairness and Responsibility Act. This legislation would provide a rational fix for parents experiencing multiple financial burdens and allow students to take responsibility for the student debt that was incurred on their behalf.
Specifically, the legislation would allow parents to transfer Parents PLUS loans to the student with the consent of the parent, student, and lender, and provided the student meets the credit requirements for the PLUS loan program and is at least six months removed from leaving school.
“This legislation would provide a common sense solution for parents facing increasing financial burdens, and allow them to transfer student loan debt to their child who is willing to take on the financial responsibility for the loans that allowed them to go to college,” Foster said. “As college costs continue to rise and economic burdens increase for hard working families, federal law should allow for parents and students to transfer financial liability for PLUS loans in a way that works best for their financial situation.”
A copy of the bill is available here.
The Parents PLUS Loan Fairness and Responsibility Act is endorsed by the National Education Association.