Important Information Regarding Federal Financial Aid for Undergraduate Students

Federal legislation enacted in July 2025 makes changes to how undergraduate students can finance their education using federal student loans. These changes take effect July 1, 2026, beginning with the 2026–2027 academic year.

• Parent PLUS Loans will be capped at $20,000 per student per year and a $65,000 lifetime limit beginning July 1, 2026

  • Parents who borrowed before that date can continue borrowing under the current limits for up to three additional years or until their student completes their program

• Students enrolled less than full-time will have their federal loans prorated in direct proportion to the percent of full-time status the student is enrolled.

• For new federal loan borrowers there will be only two repayment plans, a new standard repayment plan and the new income-based repayment plan (RAP).

• Pell Grants may be subject to changes in amount if a student has received aid up to their cost of attendance (non-federal grants, state, and institutional scholarships). Students with a high Student Aid Index (SAI):

  • Students with an SAI greater than twice the maximum Pell Grant amount will be ineligible for any Pell Grant

  • Example: If the max Pell Grant is $7,395, students with an SAI over $14,790 will not qualify

It is important to note that neither undergraduate loan rules nor undergraduate borrowing limits are changing.