Student Loan Refinancing Act

The Student Loan Refinancing Act would create a program allowing borrowers to replace existing federal student loans with new loans at potentially lower interest rates. Borrowers could refinance Federal Direct Loans (including Stafford, PLUS, and Consolidation Loans) and FFEL program loans, with the new interest rate based on current rates for similar loans. The refinanced loans would have fixed interest rates for the life of the loan, and payments made on the original loans would count toward requirements for income-driven repayment plans. Refinancing would not extend repayment periods, and borrowers could only refinance a loan twice within a 10-year period.