º£½ÇÂÒÂ×

One Big Beautiful Bill Act (OBBBA) Updates

°Õ³ó±ðÌý  (OBBBA, also known as OB3) made changes to federal student aid programs. For º£½ÇÂÒÂ× students, the most significant changes are the elimination of Grad PLUS loan for new borrowers, including students beginning a new academic program on or after July 1, 2026, and new borrowing loan limits for Direct Unsubsidized Loans.

New Loan Limits for Direct Unsubsidized Loans

º£½ÇÂÒÂ× Master’s students:

  • Annual Limit: $20,500 (remains the same, no change)
  • Aggregate Limit: Capped at $100,000 (does not include loans borrowed for undergraduate studies).

º£½ÇÂÒÂ× PsyD students:

  • Annual Limit: $50,000
  • Aggregate Limit: Capped at $200,000 (does not include loans borrowed for undergraduate studies; does include loans borrowed for Master’s studies)

New Lifetime Borrowing Cap

  • Total aggregate lifetime limit of $257,500 for all federal student loans combined.

Enrollment Intensity

Direct Loans will be prorated based on enrollment intensity (number of credits enrolled). Enrollment intensity is calculated by student credit hours enrolled divided by full-time credit hours times 100%.

º£½ÇÂÒÂ× defines full-time enrollment as 9 credits per semester totaling 27 annual credits.

Examples:

  • MA student is enrolled in 9 credits fall semester, 6 credits winter semester, 9 credits spring semester. 24 annual credits.
    • Direct Unsubsidized annual loan limit is $20,500.
    • 24/27 = 89%
    • 89% x $20,500 = $18,245 (maximum annual loan eligibility amount)
  • MA student is enrolled in 12 credits fall semester, 12 credits winter semester, 12 credits spring semester. 36 annual credits.
    • Direct Unsubsidized annual loan limit is $20,500.
    • 36/27 = 100% (loans are limited to 100% of the total annual loan limit, even if the math calculation results in a percentage over 100)
    • 100% x $20,500 = $20,500 (maximum annual loan eligibility amount)
  • PsyD student is enrolled in 6 credits fall semester, 6 credits winter semester, 6 credits spring semester. 18 annual credits.
    • Direct Unsubsidized annual loan limit is $50,000.
    • 18/27 = 67%
    • 67% x $50,000 = $33,500 (maximum annual loan eligibility amount)

If students drop or withdraw from classes after disbursement their annual loan eligibility amount may need to be recalculated.  It is important to reach out to the Director of Financial Aid prior to dropping or withdrawing from class(es) to understand the funding impacts.

Repayment Plans

Borrowers can find up to date information on on the Federal Student Aid website.

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