The bill below was recently introduced on Capitol Hill and it involves student loans. If you would like to learn more about the bill, please click the link below. But for now, here is a snippet from the bill.
Student Tax Relief Act
S. 3008 — Introduced
Student Tax Relief Act This bill amends the Internal Revenue Code to exclude from gross income the discharge of student loan debt after June 12, 2014, due to: (1) borrower defenses asserted pursuant to the Higher Education Act of 1965, or (2) an agreement with the Consumer Financial Protection Bureau or any other federal agency in connection with the closure or other agency action relating to an educational institution.
Click here for more information.
I’ve been very critical of that Debt Collective form. It’s why I wrote https://getoutofdebt.org//98769/borrower-defense-pothole-will-swallow-many-trying-forgive-student-loans and I think if you read my update on what the Department of Education is actually looking for, you can see why the simple approach is problematic. https://getoutofdebt.org//99197/things-get-real-student-loan-elimination-borrower-defense
Clearly the Dept of ED is trying to create a process that separates serious claims from casual claims as evidenced by the 530 pages of information, proposed rules, and documentation.
I think many of the first wave of Borrower Defense requests will wind up delayed or rejected. I’m not confident that many people spent time researching their state laws to identify specific fraud or illegal activities.