Federal Student Loan Programs to See Major Changes in July 2026

Federal student aid programs are scheduled for substantial revisions beginning July 1, 2026, under the One Big Beautiful Bill Act. Key changes include the discontinuation of Grad PLUS loans for new applicants and new limits on Parent PLUS loans. Most existing income-driven repayment plans will be replaced by a new Repayment Assistance Plan, and Pell Grant eligibility criteria will also be adjusted.