[Congressional Record Volume 167, Number 199 (Tuesday, November 16, 2021)]
[Senate]
[Page S8295]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 4719. Mr. BROWN (for himself and Mr. Casey) submitted an amendment
intended to be proposed to amendment SA 3867 submitted by Mr. Reed and
intended to be proposed to the bill H.R. 4350, to authorize
appropriations for fiscal year 2022 for military activities of the
Department of Defense, for military construction, and for defense
activities of the Department of Energy, to prescribe military personnel
strengths for such fiscal year, and for other purposes; which was
ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. ____. PROTECTIONS FOR OBLIGORS AND COSIGNERS IN CASE OF
DEATH OR TOTAL AND PERMANENT DISABILITY.
(a) In General.--Section 140(g) of the Truth in Lending Act
(15 U.S.C. 1650(g)) is amended--
(1) in paragraph (2)--
(A) in the heading, by striking ``in case of death of
borrower''; an
(B) by striking ``death'' each place the term appears and
inserting ``death or total and permanent disability'';
(2) by adding at the end the following:
``(3) Discharge in case of death or total and permanent
disability of borrower.--The holder of a private education
loan shall, when notified of the death or total and permanent
disability of a student obligor, discharge the liability of
the student obligor on the loan and may not, after such
notification--
``(A) attempt to collect on the outstanding liability of
the student obligor; and
``(B) in the case of total and permanent disability,
monitor the disability status of the student obligor at any
point after the date of discharge.
``(4) Private discharge in cases of certain discharge for
death or disability.--The holder of a private education loan
shall, when notified of the discharge of liability of a
student obligor on a loan described under section
108(f)(5)(A) of the Internal Revenue Code of 1986, discharge
any liability of the student obligor (and any cosigner) on
any private education loan which the private education loan
holder holds and may not, after such notification--
``(A) attempt to collect on the outstanding liability of
the student obligor; and
``(B) in the case of total and permanent disability,
monitor the disability status of the student obligor at any
point after the date of discharge.
``(5) Definition.--In this subsection, the term `total and
permanent disability' has the meaning given the term `totally
and permanently disabled' in section 685.102(b) of title 34,
Code of Federal Regulations.''.
(b) Rulemaking.--The Director of the Bureau of Consumer
Financial Protection may promulgate regulations to implement
the amendments made by subsection (a) as the Director
determines appropriate.
(c) Effective Date.--The amendments made by this section
shall take effect on the date that is 1 year after the date
of enactment of this Act.
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