Bill · S. 4097· Senate(119-S-4097)
State-Based Education Loan Awareness Act
- Introduced
- 3/16/2026
- Last activity
- 8/4/2026 — Placed on Senate Legislative Calendar under General Orders. Calendar No. 539.
- Sponsored by
- Lisa Murkowski
- Cosponsors
- - 4 - 2
- Introduced
- On Calendar
What this bill would do
This bill, titled the State-Based Education Loan Awareness Act'', amends the Higher Education Act of 1965. It creates a new definition for a State-based education loan program'' to exclude such programs from certain preferred lender arrangement requirements. These programs must be provided by a State agency, authority, or nonprofit and offer interest rates and fees at least as favorable as Federal Direct PLUS loans. Additionally, institutions must advise borrowers to exhaust Federal loan eligibility and inform them of Federal loan benefits before accepting these loans. Finally, the bill requires the GAO to submit a report on student loan borrowing trends two years after enactment.
Yes· 3 of 6
Would students be better off under this?+3
The bill increases consumer awareness of federal loan benefits and ensures state-based loans remain competitive in rates.
Does this make college cost less?+3
The bill requires state-based loans to have interest rates and fees at least as favorable as Federal Direct PLUS loans.
Does this make what the government does easier for the public to see?+3
The bill mandates a GAO report to examine trends in student loan borrowing and outcomes.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Favorable Loan Terms: State-based education loan programs must offer interest rates and fees that are at least as favorable as the interest rates and fees of Federal Direct PLUS loans (Section 2, Paragraph 10, Clause D).
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Increased Borrower Awareness: Institutions of higher education are required to advise borrowers to exhaust their Federal student loan eligibility before accepting private loans and to provide information regarding the specific benefits of Federal loans, such as income-driven repayment, loan forgiveness, and interest subsidies (Section 2, Paragraph 10, Clause E).
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Data Transparency and Oversight: The Comptroller General is required to submit a report to Congress examining trends in student loan borrowing, including average amounts borrowed, interest rate differences, and borrower outcomes like repayment, delinquency, and default rates (Section 3).
Potential Negative Impacts for People
- No specific negative impacts are explicitly stated in the provided text.
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 Students+3Good For Low Income Households+2Good For Middle Class Households+2
- Education And Technology
- Improves College Affordability+3Improves Student Loan Relief+2
- Governance And Ideology
- Improves Government Transparency+3
- 8/4/2026
- Committee on Health, Education, Labor, and Pensions. Reported by Senator Cassidy with an amendment in the nature of a substitute. Without written report.
- Placed on Senate Legislative Calendar under General Orders. Calendar No. 539.
- 7/30/2026
- Committee on Health, Education, Labor, and Pensions. Ordered to be reported with an amendment in the nature of a substitute favorably.
- 5/21/2026
- 1 Cosponsor added.
- 4/14/2026
- 1 Cosponsor added.
- 3/25/2026
- 1 Cosponsor added.
- 3/19/2026
- Committee on Health, Education, Labor, and Pensions. Hearings held.
- 3/16/2026
- Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
- 3 Cosponsors added.
- Introduced in Senate
Bill CassidyRepublican · Louisiana
Chuck GrassleyRepublican · Iowa
James LankfordRepublican · Oklahoma
John ReedDemocrat · Rhode Island
Jeanne ShaheenDemocrat · New Hampshire
Dan SullivanRepublican · Alaska