; or (II) a rate of interest equal to— (aa) 4 percent; minus (bb) 0.4 percent of the principal balance of the consolidation loan, at the time of consolidation. (B) In the case of a loan consolidated under paragraph (1)(C)(ii), an origination fee equal to 0.4 percent of the principal balance of the consolidation loan, at the time of consolidation, will be added to the principal balance of the loan, and the Secretary shall use the fee to cover the cost of making and servicing the loan. (C) If 1 or more of the loans being consolidated is a loan described under paragraph (1)(B)(iii), the interest rate on the Federal Direct Consolidation Loan under this subsection shall be reduced by 0.25 percent. (D) Any benefit a borrower is receiving or earning at the time a Federal Direct Consolidation Loan is issued under this subsection shall not be affected by consolidation under this section, including benefits such as a deferment or forbearance, accumulation of monthly payments as part of the public service loan forgiveness program under section 455(m), accumulation of monthly payments toward a loan discharge under the income-based repayment plan under section 493C, participation in a particular repayment plan, and other benefits to the borrower. . 3. Exemptions from other laws (a) Exemption from the Paperwork Reduction Act Chapter 35 of title 44, United States Code, shall not apply to this Act. (b) Inapplicability of rulemaking requirements Sections 482(c) and 492 of the Higher Education Act of 1965 ( 20 U.S.C. 1089(c) , 1098a) and section 553 of title 5, United States Code, shall not apply to the amendments made by this Act, or to any regulations promulgated under such amendments.