LOAN Act Lowering Obstacles to Achievement Now Act
To amend the Higher Education Act of 1965 to double the Pell Grant award amount, improve the Public Service Loan Forgiveness program, and reduce interest rates, and for other purposes.
The LOAN Act, officially known as the Lowering Obstacles to Achievement Now Act, aims to make higher education more accessible and affordable. The bill proposes to double the amount of Pell Grants, which are financial aid awards for students from low-income families. It also seeks to enhance the Public Service Loan Forgiveness program, which helps those in public service careers like teachers and nurses by forgiving their student loans. Furthermore, the bill looks to reduce interest rates on federal student loans. These changes would primarily benefit students who rely on financial aid and those in public service careers.
The bill was introduced on August 1, 2025, and has been referred to the Committee on Education and Workforce, as well as the Committee on the Budget, for further review and consideration. It is in its early stages of the legislative process, meaning it will be examined, potentially amended, and voted on by committee members before it can move forward in the House.
Key actions so far include the bill's introduction and its referral to relevant committees. Future steps will involve committee discussions, possible amendments, and votes on whether the bill should proceed to the full House for debate and consideration. This bill aims to address significant issues in student financing and public service support.
