Affordable Loans for Students Act

This bill automatically reduces interest rates on eligible federal student loans to 1.0% starting July 1 after enactment. It directly affects borrowers with federal student loans held by the Department of Education (direct loans) or other federal loans not held by the Department. The bill modifies direct loans without borrower action and refinances other federal loans into Federal Direct Consolidation Loans with the same repayment terms, no origination fees, and 1.0% interest rates. Borrowers can opt out of refinancing, and the Secretary must report annually on participation and delinquency rates.