WASHINGTON, D.C. – Today, Senator Jim Banks (R-Ind.) introduced the No Loan Forgiveness for Terrorists Act. This bill prevents students from receiving credit for Public Service Loan Forgiveness (PSLF) while working at organizations that engage in illegal activities. The legislation works to codify an executive order from President Trump that would end taxpayer-funded student loan forgiveness for students that participate in illegal, anti-American behavior.
Senator Jim Banks (R-Ind.): “Taxpayers shouldn’t be forced to pay student loans for radicals who aid terrorists, mutilate children, or promote illegal immigration. This bill codifies President Trump’s order to stop subsidizing anti-American extremism.”
Senator Tommy Tuberville (R-Ala.) is an original cosponsor.
Key Provisions of the No Loan Forgiveness for Terrorists Act are:
Preventing students from receiving credit through the Public Service Loan Forgiveness (PSLF) program while working at organizations that engage in the following activities:
- Aiding or abetting violations of federal immigration laws
- Materially supporting terrorism
- Materially supporting the castration or mutilation of children
- Aiding and abetting illegal discrimination
- Violating State tort laws, including against trespassing and disorderly conduct
Full bill text can be found here.
Background:
The bill codifies President Trump’s executive order on Restoring Public Service Loan Forgiveness, which was signed on March 7th, 2025.
Read more about the No Loan Forgiveness for Terrorists Act here.