Student Loan Interest Elimination Act

S. 4169, introduced in the Senate on March 24, 2026, would amend the Higher Education Act of 1965 to make several changes to federal student loan programs. The bill would eliminate interest charges on student loans, establish a new Education Affordability Trust Fund, and increase the annual and aggregate loan limits available to borrowers. If enacted, these changes would reduce the total cost of borrowing for student loan holders and potentially make higher education more affordable by allowing students to borrow larger amounts without accruing interest. The bill is currently in the early stages of the legislative process, having been referred to committee, and has not yet been voted on by the full Senate.