Kathy Castor: “this amendment ensures that hardworking families who are feeling the strain of skyrocketing health care costs can still…”

“this amendment ensures that hardworking families who are feeling the strain of skyrocketing health care costs can still afford to send their children to college. The amendment applies to the Federal parent PLUS loans. PLUS loans are the non-need-based, federally guaranteed, low-interest loans available to parents for their children's undergraduate tuition, room and board and other expenses. Our neighbors are really getting squeezed these days. They are socked with the rising cost of housing and health care. And many families are very concerned that a college education may be out of reach for their children due to these rising costs. This amendment allows parents to continue to access low-interest PLUS loans even if they have fallen behind on medical bills only up to 180 days. This extenuating circumstance exemption is identical to the one already provided in the bill for mortgage payment delinquencies. Housing and health care are the primary sources of financial hardship for families. Late mortgage payments and uncollected copayments for doctors' visits are among the primary reasons for bad debt. But these short-term and temporary extenuating circumstances should not bar parents from assisting their children with attending college.”