; or ; and (2) in subparagraph (B), by inserting not described in subparagraph (A)(iii) after Unsubsidized Stafford Loan . (c) Treatment of consolidation loans Section 428C(b)(4)(C)(ii) of the Higher Education Act of 1965 ( 20 U.S.C. 1078–3(b)(4)(C)(ii) ) is amended— (1) by striking or at the end of subclause (II); (2) by redesignating subclause (III) as subclause (IV); (3) by inserting after subclause (II) the following: (III) by the Secretary, in the case of a consolidation loan for which the application is received on or after the date of enactment of the Student Loan Fairness Act , except that the Secretary shall pay such interest only for a period not in excess of 3 years for which the borrower would be eligible for a deferral under clause (ii) of section 428(b)(1)(M); or ; and (4) in subclause (IV) (as redesignated by paragraph (2)), by striking (I) or (II) and inserting (I), (II), or (III) . (d) Income-Based repayment Section 493C(b) of the Higher Education Act of 1965 ( 20 U.S.C. 10983(b) )— (1) in paragraph (3)— (A) in subparagraph (A), by striking and after the semicolon; (B) by redesignating subparagraph (B) as subparagraph (C); (C) by inserting after subparagraph (A) the following: (B) shall, on subsidized and unsubsidized loans, be paid by the Secretary for a period of not more than 3 years during which the borrower is eligible for a deferment due to unemployment described in section 455(f)(2)(B) (regardless of whether the student is in such a deferment), except that— (i) this subparagraph shall only apply to periods during which the borrower is eligible for such a deferment on or after the date of enactment of the Student Loan Fairness Act ; and (ii) in the case of a subsidized loan, such period shall not include any period described in subparagraph (A) or any period during which the borrower is in deferment due to an economic hardship described in section 435(o); and