Shaheen and Young Introduce Bipartisan Bill to Hold Colleges Accountable for Student Loan Repayment
Small for-profit colleges and trade schools with low repayment rates would face significant financial pressure from mandatory risk-sharing payments and potential loss of federal aid eligibility. Many smaller institutions operate on thin margins, and the 2% risk-sharing payment on nonrepayment balances — plus the threat of losing all federal student aid — could force some to close or dramatically restructure their programs.
“each institution of higher education participating in the direct student loan program under this part shall remit to the Secretary, at such times as the Secretary may specify, a risk-sharing payment based on the cohort nonrepayment loan balance of the institution”
Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Introduced in Senate
The bill was officially filed and given a number. It now enters the legislative queue.
No votes have been recorded for this legislation yet.

Rep. Erin Houchin introduced the Student Protection and Success Act (H.R. 8009) to link federal aid eligibility to student loan repayment rates. The bill prohibits aid for colleges where 15% or fewer students are on track to repay loans and creates a bonus program for serving low-income students.

Congresswoman Erin Houchin highlighted the Student Protection and Success Act, which aims to hold colleges accountable by linking federal funding to a student's ability to repay their loans, arguing that institutions should have a stake in student outcomes to address the national debt crisis.
Document Type
Congressional Bill
Official Title
Student Protection and Success Act
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