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H.R. 8475119th CongressIn committeeLatest action Apr 23, 2026Decoded by AI · checked against the record
Official title: Savings Opportunity and Affordable Repayment Act
Introduced:
Read the official bill on Congress.govThe plain-language version leads. The official text is always the reference.
HR 8475 creates a new federal student loan repayment plan with income-based payments, no interest buildup, and balance cancellation after 10–15 years.
55-second read · 4 questions answered below
This bill creates a new repayment option called the SOAR plan for federal student loan borrowers. Borrowers pay nothing on income up to 250% of the federal poverty level, then 5% on income above that for undergraduate loans and 10% for other loans. The government covers any interest a monthly payment does not fully pay, and half of every payment goes directly toward the loan's principal balance.
Any borrower with federal student loans could enroll in the SOAR plan. Borrowers currently in the Pay As You Earn (PAYE) or Income-Contingent Repayment (ICR) plans can generally stay in those plans, but new enrollees would no longer be able to join them two years after the bill becomes law.
Borrowers repaying only loans from short undergraduate programs of two years or less would have remaining balances canceled after 10 years of qualifying payments, and borrowers with other loans after 15 years. Two existing repayment plans would be phased out for new enrollees over time, which would reduce the repayment options available to future borrowers.
AI-drafted summary. Verify it against the official text before you act on it. Read the official bill on Congress.gov
Right now: a House committee is reviewing it. If the Senate changes it, it goes back to the House before reaching the President.
Latest action: — Referred to the House Committee on Education and Workforce.