Shutdown Student Loans for Feds Act

This bill would pause federal Direct student loan payments for federal employees, and certain federal contractors, who are not receiving their regular pay during a government funding lapse of at least 14 days, starting in fiscal year 2026. No interest would build up on the paused loans during the pause. Each paused month would count as a payment toward loan forgiveness programs the borrower would otherwise qualify for, and paused payments would be reported to credit agencies as if they were made on time. The bill would take effect as of September 30, 2025, and the Secretary of Education could refund loan payments made during a qualifying funding lapse if the borrower asks.

Full text and official record on Congress.gov

Sponsors

• Sarah Elfreth Democrat sponsor
• 15 cosponsors