This Act may be cited as the Resident Education Deferred Interest Act or the REDI Act.

Section 455(f) of the Higher Education Act of 1965 (20 U.S.C. 1087e(f)U.S. Code — Title 20, Section 1087e(f)View official source on GovInfo) is amended— (1) in paragraph (1), in the matter preceding subparagraph (A), by striking A borrower and inserting Except as provided in paragraph (7), a borrower; (2) in paragraph (2)(A)— (A) in clause (i), by striking or after the semicolon; (B) by striking the matter following clause (ii); (C) in clause (ii), by striking the comma at the end and inserting; or; and (D) by adding at the end the following: (iii) is serving in a medical or dental internship or residency program;; and (3) by adding at the end the following: (7) Special rule for certain in school deferment Notwithstanding any other provision of this Act, a borrower described in paragraph (2)(A)(iii) shall be eligible for a deferment, during which periodic installments of principal need not be paid and interest shall not accrue on any loan made to the borrower under this part..