---
kind: "section"
citation: "20 U.S.C. § 1092a"
title: "20"
title_heading: "Education"
number: "1092a"
heading: "Combined payment plan"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/20/1092a"
units:
  - "Chapter 28 — Higher Education Resources and Student Assistance"
  - "Subchapter IV — Student Assistance"
  - "Part G — General Provisions Relating to Student Assistance Programs"
---

# §1092a. Combined payment plan

- (a) **Eligibility for plan—** Upon the request of the borrower, a [lender](/usc/20/1019.md?p=6) described in subparagraph (A), (B), or (C) of [section 1078–3(a)(1) of this title](/usc/20/1078–3.md?p=a-1), or an [eligible lender](/usc/20/1019.md?p=4) as defined in section 719 of the Public Health Service Act ([42 U.S.C. 292o](/usc/42/292o.md)) may, with respect to a consolidation [loan](/usc/20/1066a.md?p=2) made under [section 1078–3 of this title](/usc/20/1078–3.md) (and [section 1087–2(o)](/usc/20/1087–2.md?p=o) of this title as in effect prior to the enactment of [section 1078–3 of this title](/usc/20/1078–3.md)) and [loans](/usc/20/1066a.md?p=2) guaranteed under part A of title VII of the Public Health Service Act ([42 U.S.C. 292](/usc/42/292.md) et seq.), offer a combined payment plan under which the [lender](/usc/20/1019.md?p=6) shall submit one bill to the borrower for the repayment of all such [loans](/usc/20/1066a.md?p=2) for the monthly or other similar period of repayment.
- (b) **Applicability of other requirements—** A [lender](/usc/20/1019.md?p=6) offering a combined payment plan shall comply with all provisions of [section 1078–3 of this title](/usc/20/1078–3.md) applicable to [loans](/usc/20/1066a.md?p=2) consolidated or to be consolidated and shall comply with all provisions of part A of title VII of the Public Health Service Act ([42 U.S.C. 292](/usc/42/292.md) et seq.) applicable to [loans](/usc/20/1066a.md?p=2) under that subpart which are made part of the combined payment plan, except that a [lender](/usc/20/1019.md?p=6) offering a combined payment plan under this section may offer consolidation [loans](/usc/20/1066a.md?p=2) pursuant to [section 1078–3(b)(1)(A) of this title](/usc/20/1078–3.md?p=b-1-A) if such [lender](/usc/20/1019.md?p=6) holds any [outstanding](/usc/20/1066a.md?p=7) [loan](/usc/20/1066a.md?p=2) of a borrower which is selected for inclusion in a combined payment plan.
- (c) **Lender eligibility—** Such [lender](/usc/20/1019.md?p=6) may offer a combined payment plan only if—
  - (1) the [lender](/usc/20/1019.md?p=6) holds an [outstanding](/usc/20/1066a.md?p=7) [loan](/usc/20/1066a.md?p=2) of that borrower which is selected by the borrower for incorporation into a combined payment plan pursuant to this section (including [loans](/usc/20/1066a.md?p=2) which are selected by the borrower for consolidation under this section); or
  - (2) the borrower certifies that the borrower has sought and has been unable to obtain a combined payment plan from the [holders](/usc/20/1085.md?p=i) of the [outstanding](/usc/20/1066a.md?p=7) [loans](/usc/20/1066a.md?p=2) of that borrower.
- (d) **Borrower selection of competing offers—** In the case of multiple offers by [lenders](/usc/20/1019.md?p=6) to administer a combined payment plan for a borrower, the borrower shall select from among them the [lender](/usc/20/1019.md?p=6) to administer the combined payment plan including its [loan](/usc/20/1066a.md?p=2) consolidation component.
- (e) **Effect of plan—** Upon selection of a [lender](/usc/20/1019.md?p=6) to administer the combined payment plan, the [lender](/usc/20/1019.md?p=6) may reissue any [loan](/usc/20/1066a.md?p=2) under part A of title VII of the Public Health Service Act ([42 U.S.C. 292](/usc/42/292.md) et seq.) selected by the borrower for incorporation in the combined payment plan which is not held by such [lender](/usc/20/1019.md?p=6) and the proceeds of such reissued [loan](/usc/20/1066a.md?p=2) shall be paid by the [lender](/usc/20/1019.md?p=6) to the [holder](/usc/20/1085.md?p=i) or [holders](/usc/20/1085.md?p=i) of the [loans](/usc/20/1066a.md?p=2) so selected to discharge the liability on such [loans](/usc/20/1066a.md?p=2), if—
  - (1) the [lender](/usc/20/1019.md?p=6) selected to administer the combined payment plan has determined to its satisfaction, in accordance with reasonable and prudent business practices, for each [loan](/usc/20/1066a.md?p=2) being reissued (A) that the [loan](/usc/20/1066a.md?p=2) is a legal, valid, and binding obligation of the borrower; (B) that each such [loan](/usc/20/1066a.md?p=2) was made and serviced in compliance with applicable laws and regulations; and (C) the insurance on such [loan](/usc/20/1066a.md?p=2) is in full force and effect; and
  - (2) the [loan](/usc/20/1066a.md?p=2) being reissued was not in [default](/usc/20/1085.md?p=l) (as defined in section 707(e)(3) of the Public Health Service Act [[42 U.S.C. 292f(e)(3)](/usc/42/292f.md?p=e-3)]) at the time the request for a combined payment plan is made.
- (f) **Notes and insurance certificates—**
  - (1) Each [loan](/usc/20/1066a.md?p=2) reissued under [subsection (e)](#e) shall be evidenced by a note executed by the borrower. The [Secretary](/usc/20/1003.md?p=17) of Health and Human Services shall insure such [loan](/usc/20/1066a.md?p=2) under a certificate of comprehensive insurance with no insurance limit, but any such certificate shall only be issued to an authorized [holder](/usc/20/1085.md?p=i) of [loans](/usc/20/1066a.md?p=2) insured under part A of title VII of the Public Health Service Act ([42 U.S.C. 292](/usc/42/292.md) et seq.) (including the Student [Loan](/usc/20/1066a.md?p=2) Marketing Association). Such certificates shall provide that all [loans](/usc/20/1066a.md?p=2) reissued under this section shall be fully insured against loss of principal and [interest](/usc/20/1066a.md?p=6). Any insurance issued with respect to [loans](/usc/20/1066a.md?p=2) reissued under this section shall be excluded from the limitation on maximum insurance authority set forth in section 710 of the Public Health Service Act [[42 U.S.C. 292i](/usc/42/292i.md)]. Notwithstanding the provisions of section 729(a)[^1] of the Public Health Service Act, the reissued [loan](/usc/20/1066a.md?p=2) shall be made in an amount, including [outstanding](/usc/20/1066a.md?p=7) principal, capitalized [interest](/usc/20/1066a.md?p=6), accrued unpaid [interest](/usc/20/1066a.md?p=6) not yet capitalized, and authorized late charges. The proceeds of each such [loan](/usc/20/1066a.md?p=2) will be paid by the [lender](/usc/20/1019.md?p=6) to the [holder](/usc/20/1085.md?p=i) of the original [loan](/usc/20/1066a.md?p=2) being reissued and the borrower’s obligation to that [holder](/usc/20/1085.md?p=i) on that [loan](/usc/20/1066a.md?p=2) shall be discharged.
  - (2) Except as otherwise specifically provided for under the provisions of this section, the terms of any reissued [loan](/usc/20/1066a.md?p=2) shall be the same as the terms of the original [loan](/usc/20/1066a.md?p=2). The maximum repayment period for a [loan](/usc/20/1066a.md?p=2) reissued under this section shall not exceed the remainder of the period which would have been permitted on the original [loan](/usc/20/1066a.md?p=2). If the [lender](/usc/20/1019.md?p=6) holds more than one [loan](/usc/20/1066a.md?p=2) insured under part A of title VII of the Public Health Service Act ([42 U.S.C. 292](/usc/42/292.md) et seq.), the maximum repayment period for all such [loans](/usc/20/1066a.md?p=2) may extend to the latest date permitted for any individual [loan](/usc/20/1066a.md?p=2). Any reissued [loan](/usc/20/1066a.md?p=2) may be consolidated with any other Health Education Assistance [Loan](/usc/20/1066a.md?p=2) as provided in the Public Health Service Act [[42 U.S.C. 201](/usc/42/201.md) et seq.], and, with the concurrence of the borrower, repayment of any such [loans](/usc/20/1066a.md?p=2) during any period may be made in amounts that are less than the [interest](/usc/20/1066a.md?p=6) that accrues on such [loans](/usc/20/1066a.md?p=2) during that period.
- (g) **Termination of borrower eligibility—** The status of an individual as an eligible combined payment plan borrower terminates upon receipt of a combined payment plan.
- (h) **Fees and premiums—** No origination fee or insurance premium shall be charged to the borrower on any combined payment plan, and no origination fee or insurance premium shall be payable by the [lender](/usc/20/1019.md?p=6) to the [Secretary](/usc/20/1003.md?p=17) of Health and Human Services.
- (i) **Commencement of repayment—** Repayment of a combined payment plan shall commence within 60 days after the later of the date of acceptance of the [lender](/usc/20/1019.md?p=6)’s offer to administer a combined payment plan, the making of the consolidation [loan](/usc/20/1066a.md?p=2) or the reissuance of any Health Education Assistance [Loans](/usc/20/1066a.md?p=2) pursuant to [subsection (e)](#e).

## Footnotes

[^1]: See References in Text note below.

## Source credit

(Pub. L. 89–329, title IV, § 485A, as added Pub. L. 99–498, title IV, § 407(a), Oct. 17, 1986, 100 Stat. 1484; amended Pub. L. 100–50, § 15(12), June 3, 1987, 101 Stat. 357; Pub. L. 111–39, title IV, § 407(b)(6), July 1, 2009, 123 Stat. 1951.)

## Notes

### Editorial Notes

### References in Text

The Public Health Service Act, referred to in subsecs. (a), (b), (e), and (f), is act July 1, 1944, ch. 373, 58 Stat. 682, which is classified generally to chapter 6A (§ 201 et seq.) of Title 42, The Public Health and Welfare. Part A of title VII of the Act is classified generally to part A (§ 292 et seq.) of subchapter V of chapter 6A of Title 42. Section 729 of the Act was classified to section 294b of Title 42 and was omitted in the general revision of subchapter V of chapter 6A by Pub. L. 102–408, title I, § 102, Oct. 13, 1992, 106 Stat. 1994. For complete classification of this Act to the Code, see Short Title note set out under section 201 of Title 42 and Tables.

### Amendments

2009—Subsec. (a). Pub. L. 111–39, § 407(b)(6)(A), substituted “or an eligible lender as defined in section 719 of the Public Health Service Act (42 U.S.C. 292o)” for “or defined in subpart I of part C of title VII of the Public Health Service Act” and “under part A of title VII of the Public Health Service Act (42 U.S.C. 292 et seq.)” for “under subpart I of part C of title VII of the Public Health Service Act (known as Health Education Assistance Loans)”.

Subsec. (b). Pub. L. 111–39, § 407(b)(6)(B), substituted “part A of title VII of the Public Health Service Act (42 U.S.C. 292 et seq.)” for “subpart I of part C of title VII of the Public Health Service Act”.

Subsec. (e). Pub. L. 111–39, § 407(b)(6)(C)(i), substituted “loan under part A of title VII of the Public Health Service Act (42 U.S.C. 292 et seq.)” for “Health Education Assistance Loan” in introductory provisions.

Subsec. (e)(2). Pub. L. 111–39, § 407(b)(6)(C)(ii), substituted “707(e)(3)” for “733(e)(3)”.

Subsec. (f)(1). Pub. L. 111–39, § 407(b)(6)(D)(i), substituted “part A of title VII of the Public Health Service Act (42 U.S.C. 292 et seq.)” for “subpart I of part C of title VII of the Public Health Service Act” and “710” for “728(a)”.

Subsec. (f)(2). Pub. L. 111–39, § 407(b)(6)(D)(ii), substituted “part A of title VII of the Public Health Service Act (42 U.S.C. 292 et seq.)” for “subpart I of part C of title VII of the Public Health Service Act”.

1987—Subsec. (a). Pub. L. 100–50 substituted “subparagraph (A), (B), or (C)” for “clause (i), (ii), or (iii)”.

### Statutory Notes and Related Subsidiaries

### Effective Date of 2009 Amendment

Amendment by Pub. L. 111–39 effective as if enacted on the date of enactment of Pub. L. 110–315 (Aug. 14, 2008), see section 3 of Pub. L. 111–39, set out as a note under section 1001 of this title.

### Effective Date of 1987 Amendment

Amendment by Pub. L. 100–50 effective as if enacted as part of the Higher Education Amendments of 1986, Pub. L. 99–498, see section 27 of Pub. L. 100–50, set out as a note under section 1001 of this title.