Bill · H.R. 5084· House(119-HR-5084)
Teacher Loan Forgiveness Enhancement Act
- Introduced
- 9/2/2025
- Last activity
- 9/2/2025 — Referred to the Committee on Education and Workforce, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- Sponsored by
- Cleo Fields
- Cosponsors
- None
- Introduced
- In Committee
What this bill would do
This bill amends the Higher Education Act of 1965 to forgive undergraduate student loans for public school teachers who complete 8 years of consecutive service. It requires the Secretary of Education to forgive the remaining principal and interest on eligible Federal undergraduate loans upon the completion of this service. The bill ensures that the forgiven loan amount is not considered taxable income. Additionally, it allows public school teachers to receive a deferment on certain loans while they are teaching and for 6 months afterward, during which interest will not accrue. Finally, it authorizes the Secretary of the Treasury to disclose certain tax return information to the Secretary of Education to help discharge these loans.
Yes· 3 of 19
Does this reduce what student borrowers owe or repay?+8
Directly forgives federal undergraduate loans and prevents interest accrual during service for public school teachers.
Would people in their twenties and thirties be better off under this?+6
Young adults entering the teaching profession benefit heavily from undergraduate loan relief.
Would middle-income households be better off under this?+6
Supports middle-class public school educators by forgiving undergraduate student loans.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Loan Forgiveness for Public School Teachers: Under Section 2 (adding section 494A(a)), the bill requires the forgiveness of eligible Federal undergraduate loans for borrowers employed full-time as public school teachers for at least 8 consecutive years. This is positive because it helps hardworking educators eliminate their undergraduate student debt.
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Tax-Free Forgiveness: Under Section 2 (adding section 494A(d)), the amount of the loan and interest forgiven is not considered taxable income under the Internal Revenue Code of 1986. This is beneficial because teachers will not face a surprise tax bill on the forgiven debt amount.
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Loan Deferment and No Interest Accrual: Under Section 3, public school teachers are eligible for a deferment on specific Federal Direct, FFEL, and Perkins loans while serving as a public school teacher and for 6 months after, during which principal payments are not required and interest does not accrue. This provision helps teachers pause their loan burdens and prevents their balances from growing while they serve in public schools.
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Authorization of Double Benefits: Under Section 2 (adding section 494A(e)), a borrower may receive benefits under this section and also under several other specific student loan or national service sections for the same service. This allows teachers to potentially stack qualifying benefits without being disqualified.
Potential Negative Impacts for People
- The provided text does not contain any specific sections or provisions that outline negative consequences or burdens for individuals or groups of people in the United States.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Middle Class Households+6Good For Young Adults+6Good For Low Income Households+4Good For Middle Aged+4Good For Students+4Good For Women+4Good For Union Workers+3Good For Children+2Good For Men+2Good For Rural Residents+2Good For Urban Residents+2
- Education And Technology
- Improves Student Loan Relief+8Improves College Affordability+6
- Economy And Finance
- Increases Job Creation+3Reduces Middle Class Taxes+2Improves Economic Growth+1
- Social Issues And Justice
- Improves Gender Equality+2Improves Poverty Reduction+2
- Governance And Ideology
- Increases Federal Power+1
- 9/2/2025
- Referred to the Committee on Education and Workforce, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- Introduced in House