Title 20 — EducationRelease 119-73
§1074 Scope and duration of Federal loan insurance program
Title 20 › Chapter CHAPTER 28— - HIGHER EDUCATION RESOURCES AND STUDENT ASSISTANCE › Subchapter SUBCHAPTER IV— - STUDENT ASSISTANCE › Part Part B— - Federal Family Education Loan Program › § 1074
Summary
Sets a cap of $2,000,000,000 on the total principal of new loans and installments paid under lines of credit insured by the federal program. That cap applies for each of these times: July 1, 1976, to September 30, 1976; each fiscal year ending before October 1, 2009; and October 1, 2009, to June 30, 2010 for loans first disbursed on or before June 30, 2010. The Secretary may, if needed to keep things fair, split that cap into quotas for eligible lenders or for States or areas, and may reassign any unused quota amounts.
Full Legal Text
Title 20, §1074
Education — Source: USLM XML via OLRC
(a)The total principal amount of new loans made and installments paid pursuant to lines of credit (as defined in section 1085 of this title) to students covered by Federal loan insurance under this part shall not exceed $2,000,000,000 for the period from July 1, 1976, to September 30, 1976, for each of the succeeding fiscal years ending prior to October 1, 2009, and for the period from October 1, 2009, to June 30, 2010, for loans first disbursed on or before June 30, 2010.
(b)The Secretary may, if he or she finds it necessary to do so in order to assure an equitable distribution of the benefits of this part, assign, within the maximum amounts specified in subsection (a), Federal loan insurance quotas applicable to eligible lenders, or to States or areas, and may from time to time reassign unused portions of these quotas.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Prior Provisions
A prior section 1074, Pub. L. 89–329, title IV, § 424, Nov. 8, 1965, 79 Stat. 1237; Pub. L. 90–460, § 1(a)(1), Aug. 3, 1968, 82 Stat. 634; Pub. L. 90–575, title I, § 112(a), Oct. 16, 1968, 82 Stat. 1020; Pub. L. 92–318, title I, § 132(a),
June 23, 1972, 86 Stat. 261; Pub. L. 94–328, § 2(a),
June 30, 1976, 90 Stat. 727; Pub. L. 94–482, title I, § 127(a), Oct. 12, 1976, 90 Stat. 2103; Pub. L. 96–374, title IV, § 411(a), title XIII, § 1391(a)(1), Oct. 3, 1980, 94 Stat. 1415, 1503; Pub. L. 99–272, title XVI, § 16018(a)(1), Apr. 7, 1986, 100 Stat. 348, related to new loans under Federal loan insurance program, prior to the general revision of this part by Pub. L. 99–498.
Amendments
2010—Subsec. (a). Pub. L. 111–152 substituted “
September 30, 1976, for each of the succeeding fiscal years ending prior to
October 1, 2009, and for the period from
October 1, 2009, to
June 30, 2010, for loans first disbursed on or before
June 30, 2010.” for “
September 30, 1976, and for each of the succeeding fiscal years ending prior to
October 1, 2014. Thereafter, Federal loan insurance pursuant to this part may be granted only for loans made (or for loan installments paid pursuant to lines of credit) to enable students, who have obtained prior loans insured under this part, to continue or complete their educational program; but no insurance may be granted for any loan made or installment paid after
September 30, 2018.” 2008—Subsec. (a). Pub. L. 110–315 substituted “
October 1, 2014” for “
October 1, 2012” and “
September 30, 2018” for “
September 30, 2016”. 2006—Subsec. (a). Pub. L. 109–171 substituted “
October 1, 2012” for “
October 1, 2004” and “
September 30, 2016” for “
September 30, 2008”. 1998—Subsec. (a). Pub. L. 105–244 substituted “
October 1, 2004” for “
October 1, 2002” and “
September 30, 2008” for “
September 30, 2006”. 1997—Subsec. (a). Pub. L. 105–33 substituted “
October 1, 2002” for “
October 1, 1998” and “
September 30, 2006” for “
September 30, 2002”. 1992—Subsec. (a). Pub. L. 102–325 substituted “
October 1, 1998” for “
October 1, 1992” and “
September 30, 2002” for “
September 30, 1997”.
Statutory Notes and Related Subsidiaries
Effective Date
of 2006 AmendmentAmendment by Pub. L. 109–171 effective July 1, 2006, except as otherwise provided, see section 8001(c) of Pub. L. 109–171, set out as a note under section 1002 of this title.
Effective Date
of 1998 AmendmentAmendment by Pub. L. 105–244 effective Oct. 1, 1998, except as otherwise provided in Pub. L. 105–244, see section 3 of Pub. L. 105–244, set out as a note under section 1001 of this title.
Reference
Citations & Metadata
Citation
20 U.S.C. § 1074
Title 20 — Education
Last Updated
Apr 6, 2026
Release point: 119-73