Rep. Lee, Colleagues Introduce Bipartisan Bill to Provide Student Borrower Relief for Perkins Loan Holders

Las Vegas, Nev.—U.S. Rep. Susie Lee (Nev.-03) helped introduced bipartisan legislation led by Rep. Katie Porter (Calif.-45), along with Reps. Elise Stefanik (N.Y.-21), Lori Trahan (Mass.-03), and Alma Adams (N.C.-12), that would expand the reach of the student borrower protections included in the CARES Act. The COVID–19 Perkins Loan Relief Act would allow the nearly 2 million borrowers with Perkins loans to forgo making payments on those loans until October.

"Under the CARES Act, both parties in Congress agreed that suspending student loan payments and interest accumulation was the right thing to do during this crisis," said Rep. Lee. "It's our duty to look after every student, but nearly two months later, Perkins Loan borrowers have not received the same protections under the CARES Act. We are closing this gap through the bipartisan COVID-19 Perkins Loan Relief Act to ensure student borrowers don't have to worry about burdensome monthly payments while making ends meet during this pandemic."

"Student borrowers in Orange County and across the country are hurting regardless of what kind of loan they have," said Rep. Porter. "This pandemic has only exacerbated our existing student debt crisis. I'm glad to see support on both sides of the aisle for closing this loophole and doing right by Americans who invested in their education."

"COVID-19 presented significant challenges and uncertainty to North Country residents with student loan payments," said Rep. Stefanik. "This bipartisan legislation closes a gap in the CARES Act and allows those with Perkins loans to defer payments until October as we recover from the COVID-19 crisis. Along with the Equity in Student Loan Relief Act, this critical legislation will reduce significant financial stress for the borrowers who have been left behind, and I'm proud to be an advocate for all of our hardworking North Country students and their families."

"Nearly two months after the CARES Act became law, millions of federal student loan borrowers continue to struggle without relief," said Rep. Trahan. "I'm proud to help introduce this legislation with broad support to provide much needed assistance to folks who took out federal loans through the Perkins program and continue to owe payments."

"The CARES Act provided relief for over 35 million Americans burdened with student debt, but 10 million Americans continue to struggle with making student debt payments due to the devastating impacts of COVID-19", said Rep. Adams. "I'm pleased to join this bipartisan collection of Members to assist 2 million Perkins loan borrowers, and look forward to continuing our work of providing relief to all Americans who view higher education as the path to a better life."

BACKGROUND: While the CARES Act provided these relief measures for most of the nation's student borrowers, recipients of Perkins Loans and commercially held FFEL loans were not included in the original legislation, which was signed into law in March. Rep. Lee also helped introduce the bipartisan Equity in Student Loan Relief Act, which provides these same supports to FFEL borrowers.

The National Consumer Law Center, the American Federation of Teachers, and The Institute for College Access and Success endorsed the COVID-19 Perkins Loan Relief Act.