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139 STAT. 341 PUBLIC LAW 119–21—JULY 4, 2025 (ii) in subsection (b)(5), by striking ‘‘be repaid either pursuant to income contingent repayment under part D of this title, pursuant to income-based repay- ment under section 493C, or pursuant to any other repayment provision under this section’’ and inserting ‘‘be repaid pursuant to an income-based repayment plan under section 493C or any other repayment provi- sion under this section’’; and (iii) in subsection (c)— (I) in paragraph (2)(A), by striking ‘‘or by the terms of repayment pursuant to income contingent repayment offered by the Secretary under sub- section (b)(5)’’ and inserting ‘‘or by the terms of repayment pursuant to an income-based repay- ment plan under section 493C’’; and (II) in paragraph (3)(B), by striking ‘‘except as required by the terms of repayment pursuant to income contingent repayment offered by the Sec- retary under subsection (b)(5)’’ and inserting ‘‘except as required by the terms of repayment pursuant to an income-based repayment plan under section 493C’’. (C) Section 485(d)(1) of the Higher Education Act of 1965 (20 U.S.C. 1092(d)(1)) is amended by striking ‘‘income- contingent and’’. (D) Section 494(a)(2) of the Higher Education Act of 1965 (20 U.S.C. 1098h(a)(2)) is amended— (i) in the paragraph heading, by striking ‘‘INCOME- CONTINGENT AND INCOME-BASED’’ and inserting ‘‘INCOME-BASED’’; and (ii) in subparagraph (A)— (I) in the matter preceding clause (i), by striking ‘‘income-contingent or’’; and (II) in clause (ii)(I), by striking ‘‘section 455(e)(8) or the equivalent procedures established under section 493C(c)(2)(B), as applicable’’ and inserting ‘‘section 493C(c)(2)’’. (3) EFFECTIVE DATE.—The amendments made by this sub- section shall take effect on July 1, 2028. (d) REPAYMENT ASSISTANCE PLAN.—Section 455 of the Higher Education Act of 1965 (20 U.S.C. 1087e) is amended by adding at the end the following new subsection: ‘‘(q) REPAYMENT ASSISTANCE PLAN.— ‘‘(1) IN GENERAL.—Notwithstanding any other provision of this Act, beginning on July 1, 2026, the Secretary shall carry out an income-based repayment plan (to be known as the ‘Repayment Assistance Plan’), that shall have the following terms and conditions: ‘‘(A) The total monthly repayment amount owed by a borrower for all of the loans of the borrower that are repaid pursuant to the Repayment Assistance Plan shall be equal to the applicable monthly payment of a borrower calculated under paragraph (4)(B), except that the borrower may not be precluded from repaying an amount that exceeds such amount for any month. ‘‘(B) The Secretary shall apply the borrower’s applicable monthly payment under this paragraph first toward Applicability. Effective date. 20 USC 1078 note.