Student Loan Amendments Act of 1987

Student Loan Amendments Act of 1987 - Amends the Higher Education Act of 1965 to revise the insurance premium rule for the guaranteed student loan program. Requires the collection of a single insurance premium which shall be applied uniformly to all loans. Requires that such premium be not less than 0.5 percent nor more than three percent of the principal amount of the loan. Provides that a multistate guaranty agency may set the premium for each State for which it has received advances as the designated State guarantor, with a single uniform rate to be set for the balance of the activity of the agency with other States.

Permits a guaranty agency, after 60 days' notice, to cease to guarantee loans for students at an otherwise eligible institution if the cumulative default rate of loans at such institution in repayment exceeds 25 percent of the amount insured by the guaranty agency which holds the preponderance of the value of the loans outstanding at such institution (unless the guarantor is the designated State guaranty agency in the State where the eligible institution is located and insures loans for the lender of last resort in that State under specified provisions).