Lawmaker aims to end loan payment license suspensions



This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.

HELENA, Mont. (AP) — Montanans would no longer lose their driver's licenses for falling behind on student loan payments under a bill before state lawmakers.

Rep. Moffie Funk introduced House Bill 363 on Thursday in the House Business and Labor Committee.

Currently the Montana Department of Justice can indefinitely suspend various licenses of anyone who defaults on a student loan. That includes state-issued driver's, business and recreational licenses

Licenses are returned once the loan office tells the Department of Motor Vehicles that the payments are back on track.

Funk, a Democrat from Helena, called the current program for suspending licenses based on loan payments counter-productive, cumbersome and unwieldy.

She said suspending a person's driver's license likely also restricts that person's ability to repay a loan.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

The Associated Press

    SIGN UP FOR THE KSL.COM NEWSLETTER

    Catch up on the top news and features from KSL.com, sent weekly.
    By subscribing, you acknowledge and agree to KSL.com's Terms of Use and Privacy Policy.

    KSL Weather Forecast