In July 2025, a new federal law called the One Big Beautiful Bill Act (OBBBA) was signed into law. This legislation introduces a number of updates to federal financial aid programs that may impact undergraduate, graduate, and professional students.

These changes are expected to begin on July 1, 2026, and will apply starting with the 2026–2027 academic year.
Our Financial Aid Office is currently waiting for additional guidance from the U.S. Department of Education. We’ll continue to share updates and post new information here as details become available.

What is staying the same?

Undergraduate Loan Limits

No change: Subsidized and Unsubsidized loan limits remain the same

• Annual: $5,500 – $12,500 (Based on year and dependency)
• Total: $31,000 (Dependent) or $57,500 (Independent)
• U.S. Department of Education Loan Amount Limits

What is changing?

Pell Grant Eligibility

Updated eligibility Criteria: New eligibility limitations apply

• Student Aid Index (SAI) limitations: Students with SAI > $14,790 (2x the current maximum Pell Award) will not be eligible
• Other grants and scholarships limitations: Students with total grants and scholarships from non-federal sources > total estimated cost of attendance will not be eligible for Pell

Reduced Annual Loan limits for Part-Time Enrollment

Limited loan eligibility: If you enroll in less than 12 credits for a semester, the amount you can borrow for the semester may be reduced

Example: If you enroll in 6 credit hours for the Fall semester (half-time), the portion of your annual loan limit attributable to the Fall will be reduced proportionally (also by half), if the amount you plan to borrow for the Fall exceeds the new limit; your Fall loan must be reduced to the new limit

$3,500 subsidized loan total for the year – $1,750 for Fall/Spring

Amount awarded for the Fall semester at 6 credit hours – $875

Parent PLUS Loan Limits

New limits: Updated annual and lifetime borrowing limits apply to Parent PLUS loans – limits are per student, not per parent borrower

• Annual: $20,000 per year, per student
• Total: $65,000 per student

Exception for Current Students (aka. “Legacy” or “Grandfather” provisions):

Most current students qualify for an exception: if you qualify, new Parent PLUS limits don’t’ apply for up to 3 academic years

Your parent(s) may continue borrowing Parent PLUS loans under prior limits for up to 3 academic years (Or remainder of your program) if-

• You are enrolled as of June 30, 2026 and
• You or your parent(s) previously borrowed a federal loan for your academic program, and
• You remain in the same academic program through graduation