,i #aad? ,,congress #a/ ,session ,h4 ,r4 #cidg ,,9 ,,! ,,h\se ,,( ,,repres5tatives ,novemb] #e1 #bjae ,mr4 ,deut* introduc$ ! foll[+ bill2 :i* 0 ref]r$ to ! ,committee on ,education & ! ,work=ce1 & 9 addition to ! ,committee on ,f9ancial ,s]vices1 = a p]iod to be subsequ5tly det]m9$ by ! ,speak]1 9 ea* case = consid]ation ( su* provisions z fall )9 ! jurisdiction ( ! committee conc]n$ ,a ,,bill ,to am5d ! ,high] ,education ,act ( #aife & ! ,tru? 9 ,l5d+ ,act to cl>ify ! application ( prepaym5t & und]paym5t am\nts on /ud5t loans1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,/ud5t ,loan ,paym5t ,optimization ,act4 #b4 ,application ( prepaym5t & und]paym5t am\nts = ,,ffel & ,direct ,loans 7a7 ,9 ,g5]al ,section #dee7;d7 ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajhg;e7d77 is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#f7 ,application ( prepaym5t & und]paym5t am\nts 7,a7 ,prepaym5t am\nts ,not)/&+ any o!r provision ( ?is subsection or any o!r provision ( law1 ) respect to loans made to an eligible borr[] "u ?is "p or "p ,b :i* are held by ! same hold] & :i* h diff]5t applicable rates ( int]e/1 ! hold] ( su* loans %all apply ! borr[]'s prepaym5t am\nt 7)9 ! mean+ ( section #fhb4bji7;b7 ( title #cd1 ,code ( ,f$]al ,regulations1 or a successor regulation7 = "o or m ( su* loans-- 7i7 fir/ t[>d any out/&+ balance ( fees1 includ+ collection co/s & au?oriz$ late *>ges1 due on su* loans2 & 7ii7 !n1 except z o!rwise reque/$ by ! borr[] 9 writ+1 t[>d ! out/&+ balance ( pr9cipal due on ! loan ) ! highe/ applicable rate ( int]e/ among su* loans4 7,b7 ,und]paym5t am\nts ,not)/&+ any o!r provision ( ?is subsection or any o!r provision ( law1 ) respect to loans made to an eligible borr[] "u ?is "p or "p ,b :i* are held by ! same hold] & :i* h diff]5t applicable rates ( int]e/1 ! hold] ( su* loans %all apply any paym5t made by ! borr[] :i* is less ?an ! am\nt due at ! "t ( ! paym5t = "o or m ( su* loans-- 7i7 fir/ t[>d any out/&+ balance ( fees1 includ+ collection co/s & au?oriz$ late *>ges1 due on su* loans2 & 7ii7 !n1 except z o!rwise reque/$ by ! borr[] 9 writ+1 t[>d ! balance ( ! loan ) ! smalle/ balance ( pr9cipal & int]e/ among su* loans4 7,c7 ,special rule = borr[]s "u income-bas$ repaym5t plan ,9 ! case ( a loan = :i* ! borr[] has elect$ to p>ticipate 9 an income-bas$ repaym5t plan "u section #dic;,c1 subp>agraphs 7,a7 & 7,b7 %all n apply unless !re is no int]e/ due on ! loan4 4 7b7 ,requirem5ts = ,contracts ,) ,s]vic]s ( ,loans ,section #def7;a77#b7 ( su* ,act 7#bj ,u4,s4,c4 #ajhg;f7a77#b77 is am5d$ by /rik+ ! p]iod at ! end ( ! fir/ s5t5ce & ins]t+ ! foll[+3 1 includ+ ! requirem5ts ) respect to ! application ( prepaym5t & und]paym5t am\nts "u section #dee7;d77#f744 #c4 ,application ( prepaym5t & und]paym5t am\nts = ,p]k9s ,loans 7a7 ,9 ,g5]al ,section #dfd7;c77#a77;,c7 ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajhg;dd7c77#a77;,c77 is am5d$-- 7#a7 by /rik+ & at ! end ( clause 7i72 & 7#b7 by add+ at ! end ! foll[+3 7iii7 %all provide t ! in/itution %all1 9 ! case ( a borr[] :o provides ! in/itution ) a prepaym5t am\nt 7)9 ! mean+ ( section #fhb4bji7;b7 ( title #cd1 ,code ( ,f$]al ,regulations1 or a successor regulation7 = "o or m ( ! loans held by ! in/itution1 apply su* prepaym5t am\nt-- 7,i7 fir/ t[>d any out/&+ balance ( fees1 includ+ collection co/s & au?oriz$ late *>ges1 due on su* loans2 & 7,,ii7 !n1 except z o!rwise reque/$ by ! borr[] 9 writ+1 t[>d ! out/&+ balance ( pr9cipal due on ! loan ) ! highe/ applicable rate ( int]e/ among su* loans2 & 7iv7 %all provide t ! in/itution %all apply any paym5t made by ! borr[] :i* is less ?an ! am\nt due = a repaym5t p]iod = "o or m ( ! loans held by ! in/itution-- 7,i7 fir/ t[>d any out/&+ balance ( fees1 includ+ collection co/s & au?oriz$ late *>ges1 due on su* loans2 & 7,,ii7 !n1 except z o!rwise reque/$ by ! borr[] 9 writ+1 t[>d ! balance ( ! loan ) ! smalle/ balance ( pr9cipal & int]e/ among su* loans2 4 7b7 ,agreem5ts ,) ,in/itutions ,section #dfc7;a7 ( su* ,act 7#bj ,u4,s4,c4 #ajhg;cc7a77 is am5d$-- 7#a7 by /rik+ & at ! end ( p>agraph 7#h72 7#b7 by r$esignat+ p>agraph 7#i7 z p>agraph 7#aj72 & 7#c7 by ins]t+ aft] p>agraph 7#h7 ! foll[+ new p>agraph3 7#i7 provide assurances t ! in/itution w meet ! requirem5ts ) respect to ! application ( prepaym5t & und]paym5t am\nts "u section #dfd7;c77#a77;,c72 & 4 #d4 ,application ( prepaym5t & und]paym5t am\nts = private education loans ,section #abh7;e7 ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afch7;e77 is am5d$ by add+ at ! end ! foll[+3 7#ab7 ,application ( prepaym5t & und]paym5t am\nts 7,a7 ,prepaym5t am\nts ,not)/&+ any o!r provision ( law1 ) respect to a borr[] ) "o or m private education loans :i* are held by ! same hold] & :i* h diff]5t applicable rates ( int]e/1 ! hold] ( su* loans %all apply ! borr[]'s prepaym5t am\nt 7)9 ! mean+ ( section #fhb4bji7;b7 ( title #cd1 ,code ( ,f$]al ,regulations1 or a successor regulation7 = "o or m ( su* loans-- 7i7 fir/ t[>d any out/&+ balance ( fees1 includ+ collection co/s & au?oriz$ late *>ges1 due on any private education loan held by su* hold]2 & 7ii7 !n1 except z o!rwise reque/$ by ! borr[] 9 writ+1 t[>d ! out/&+ balance ( pr9cipal due on ! loan ) ! highe/ applicable rate ( int]e/ among su* loans4 7,b7 ,und]paym5t am\nts ,not)/&+ any o!r provision ( law1 ) respect to a borr[] ) "o or m private education loans :i* are held by ! same hold] & :i* h diff]5t applicable rates ( int]e/1 ! hold] ( su* loans %all apply any paym5t made by ! borr[] :i* is less ?an ! am\nt due at ! "t ( ! paym5t = "o or m ( su* loans-- 7i7 fir/ t[>d any out/&+ balance ( fees1 includ+ collection co/s & au?oriz$ late *>ges1 due on any private education loans held by su* hold]2 & 7ii7 !n1 except z o!rwise reque/$ by ! borr[] 9 writ+1 t[>d ! balance ( ! loan ) ! smalle/ balance ( pr9cipal & int]e/ among su* loans4 4