One Big Beautiful Bill Act: Frequently Asked Questions

No. Financial aid already awarded and disbursed for the 2025-26 academic year is not affected by these federal changes.

Prior to July 1, 2026, eligible graduate students may borrow up to $20,500 annually through the Federal Direct Unsubsidized Loan program.

Beginning July 1, 2026, eligible graduate students may continue to borrow up to $20,500 annually through this program.

Beginning July 1, 2026, eligible graduate students will have a federal aggregate borrowing limit of $100,000 for graduate-level Direct Unsubsidized Loans. Undergraduate federal loan borrowing is not included in this limit.

Students should consult the SVSU Financial Aid Office regarding their individual borrowing history and remaining eligibility.

Students who received a Graduate PLUS Loan disbursement before July 1, 2026, may qualify for transitional ("legacy") provisions.

New graduate borrowers after July 1, 2026, are not expected to be eligible for the Graduate PLUS Loan program under current federal law.

Yes. Students who received a federal student loan disbursement in their current academic program before July 1, 2026, may continue borrowing under previous federal loan rules for up to three academic years or the minimum time required to complete their degree program, whichever is less.

Current federal guidance indicates that students who withdraw or take a leave from their program may lose eligibility for legacy loan provisions.

Yes, Beginning with the 2026-2027 academic year, federal regulations will require loan amounts to be adjusted for students who enroll less than full-time status of 24 credits between Fall and Winter.

Regardless of legacy status, all students will now have a lifetime limit of $257,500. This includes undergraduate loans, graduate loans, graduate plus loans, prior loans paid in full and loans that have been discharged.

Graduate students may explore:

• Scholarships
• Assistantships (if available)
• Employer tuition assistance
• Private educational loans

Students should carefully compare interest rates, repayment options, and borrower protections before pursuing private loans.

Contact the SVSU Financial Aid Office for assistance with your specific financial aid situation.

Yes. Eligible undergraduate students who demonstrate financial need may continue to qualify for Federal Direct Subsidized Loans under current federal regulations.

Yes. Undergraduate students may continue to qualify for Federal Direct Unsubsidized Loans under current federal regulations.

Federal loan eligibility may be adjusted based on your enrollment status. For example, if you are registered for 21 credits during the academic year and full-time enrollment is considered 24 credits, your enrollment percentage would be calculated as follows:

21 registered credits ÷ 24 full-time credits = 87.5%

Your federal loan eligibility would then be prorated using this percentage:

87.5% × $3,500 = $3,062.50

The reduction may occur in either the fall or winter semester, depending on when you change your enrollment status. If you reduce your enrollment after the fall loan disbursement has already been processed, the adjustment will typically be applied to your winter semester disbursement.

Regardless of legacy status, all students will now have a lifetime limit of $257,500. This includes undergraduate loans, graduate loans, graduate plus loans, prior loans paid in full and loans that have been discharged.

Contact the SVSU Financial Aid Office for assistance.

Beginning July 1, 2026, new federal limits may apply to Parent PLUS Loans, including annual and lifetime borrowing caps.

A student will be eligible for a max of $20,000 per year for a lifetime max of $65,000 per student regardless of which parent is approved.

Yes. Families who have received Parent PLUS Loan disbursements prior to July 1, 2026, may qualify for transitional borrowing provisions for a limited period under federal law.

Families may consider:

• Scholarships
• Payment plans
• Private educational loans

Students and families should review all options carefully and borrow only what is necessary.

Contact the SVSU Financial Aid Office for assistance.