Louisiana congressman introduces bill providing financial assistance to disaster survivors through student loans

WASHINGTON DC (BRPROUD) – A congressman from Louisiana introduced a bill that would provide financial assistance to disaster survivors through student loans.

Congressman Troy Carter’s bill is the No Double Debt for Disaster Survivors Act.

“The country is fighting the worst pandemic in history,” said Congressman Carter. “We are also faced with increasingly frequent and intense natural disasters. I have seen and heard first-hand from people who have lost everything, whether due to COVID, flooding or a hurricane. For many, these combined disasters have resulted in the need to take out one or more SBA disaster loans. The last thing people need to get back on their feet is another loan that’s weighing them down. Coupled with the fact that nearly a third of all American students take on debt to pay for their education, this double debt burden is hurting our economy and additionally weighing on those struggling to recover from COVID-19 and disasters. natural. People need relief.

According to Congressman Carter, the bill would help in the following ways:

  • The bill authorizes the Secretary of Education to write off outstanding student loan debt for SBA disaster loan borrowers in the wake of the COVID-19 pandemic or natural disaster.
  • The forgiven amount would not exceed the SBA disaster loan amount and only wipe out the student loan debt, ensuring that no additional debt is created.
  • The bill cancels outstanding student loan debt for those who need to take out SBA disaster loans since the start of the COVID-19 pandemic.
  • Creates an annual report to provide feedback to Congress, including the number of people with canceled loans and the total dollar amount of canceled loans.

“The people of Louisiana and America should not be doubly punished after a disaster simply for seeking more education,” said Congressman Carter. “At a time when we face intersecting crises, we need to give people a chance to prosper without debt weighing them down. The Double Debt Prohibition Act for Disaster Survivors will reduce the loan debt burden and provide a much needed boost to our economy. “

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