# 119-hr-423: Private Student Loan Bankruptcy Fairness Act of 2025

119-hr-423, Private Student Loan Bankruptcy Fairness Act of 2025, is a 119th Congress bill sponsored by Rep. Cohen, Steve [D-TN-9] (D-TN); status introduced; PRIA reads it as touching household money (as of 2026-09-21).

- Canonical: https://policyrisk.com/legislation/119-hr-423
- As of: 2026-09-21
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-hr-423
- Congress: 119
- Title: Private Student Loan Bankruptcy Fairness Act of 2025
- Status: introduced
- Introduced: 2025-01-15
- Sponsor: Rep. Cohen, Steve [D-TN-9] (D-TN)
- Cosponsors: 5
- Policy area: Finance and Financial Sector
- Touches household money: yes
- Last recorded action: 2026-09-21

## Summary

**This bill would let many private student loans be discharged in bankruptcy without proving "undue hardship".** It redraws the test for which educational debts are protected from discharge by focusing on whether a program is largely funded by a government unit or a nonprofit. - Families and borrowers: Private student loan borrowers could erase qualifying private student debt through bankruptcy without meeting the current undue hardship test. - Lenders and loan servicers: Holders of private student loans would face greater risk of discharge and potential losses on affected loans. - Bankruptcy cases and courts: The bill rewrites 11 U.S.C. 523(a)(8) by removing a separate subparagraph and refocusing the funding-source criterion. It would take effect on enactment and apply only to bankruptcy cases filed on or after that date.

## Cosponsors (5)

- Rep. Davis, Danny K. [D-IL-7] (D-IL), 2025-01-15T00:00:00.000Z
- Rep. Swalwell, Eric [D-CA-14] (D-CA), 2025-01-15T00:00:00.000Z
- Rep. Moore, Gwen [D-WI-4] (D-WI), 2025-01-15T00:00:00.000Z
- Rep. Brownley, Julia [D-CA-26] (D-CA), 2025-01-15T00:00:00.000Z
- Rep. Khanna, Ro [D-CA-17] (D-CA), 2025-05-01T00:00:00.000Z

## Provisions PRIA read

- Easier bankruptcy relief for private student loans: benefit, high. If enacted, this would make it easier to wipe out many private student loans in bankruptcy. The bill would remove the separate category that blocks many “qualified education loans” from discharge. It would refocus the rule on programs where substantially all funds come from a government unit or a n…

## Related bills

- 119-hr-9877: Health Equity and Accountability Act of 2026
- 119-hr-7973: Momnibus Act
- 119-hr-3151: SHIPS for America Act of 2025
- 119-hr-3971: Domestic Workers Bill of Rights Act
- 119-hr-5361: George Floyd Justice in Policing Act of 2025
- 119-hr-51: Washington, D.C. Admission Act

## Sources
- [119-hr-423 on Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/423)

## Related
- [119-hr-9877: Health Equity and Accountability Act of 2026](https://policyrisk.com/legislation/119-hr-9877)
- [119-hr-7973: Momnibus Act](https://policyrisk.com/legislation/119-hr-7973)
- [119-hr-3151: SHIPS for America Act of 2025](https://policyrisk.com/legislation/119-hr-3151)
- [119-hr-3971: Domestic Workers Bill of Rights Act](https://policyrisk.com/legislation/119-hr-3971)
- [119-hr-5361: George Floyd Justice in Policing Act of 2025](https://policyrisk.com/legislation/119-hr-5361)
- [119-hr-51: Washington, D.C. Admission Act](https://policyrisk.com/legislation/119-hr-51)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-hr-423 (as of 2026-09-21).