1. Deferment for Federal employees during government shutdowns (a) Shutdown deferment (1) Effect on principal and interest Notwithstanding any other provision of law, a borrower of a loan made, insured, or guaranteed under part B or D of the Higher Education Act of 1965 ( 20 U.S.C. 1071 et seq.; 1087a et seq.) who meets the requirements described in paragraph (2) shall be eligible for a deferment, during which— (A) periodic installments of principal need not be paid; and (B) in the case of a— (i) loan made, insured, or guaranteed under part B of the Higher Education Act of 1965 ( 20 U.S.C. 1071 et seq.), the Secretary shall repay any interest owed; and (ii) loan made under part D of the Higher Education Act of 1965 ( 20 U.S.C. 1087a et seq.), interest shall not accrue. (2) Eligibility A borrower of a loan described in paragraph (1) shall be eligible for a deferment during any period of not less than 15 consecutive days in which such borrower is an employee of a Federal agency that is subject to a lapse in discretionary appropriations. (b) Effect of shutdown deferment on public service loan forgiveness (1) In general Notwithstanding any other provision of law, for purposes of section 455(m) of the Higher Education Act of 1965 ( 20 U.S.C. 1087e(m) )— (A) the Secretary of Education shall treat an unpaid monthly payment on a loan during a deferment period described in subsection (a)(2) as if such monthly payment has been made on the loan if, during the reimbursement period, the borrower of such loan— (i) makes each monthly payment due on such loan for each month of such reimbursement period; (ii) pays the amount of such unpaid monthly payment; and (iii) not later than the day on which the first monthly payment is due during such reimbursement period, pays any other amounts that were due on such loan as of the day before the deferment period