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One Big Beautiful Bill & Your Financing Options

The "One Big Beautiful Bill" was signed into law as part of comprehensive education reform legislation. This landmark bill introduces sweeping changes to federal student aid programs, effective July 1, 2026.

Please note that additional guidance and clarification will be forthcoming from the U.S. Department of Education. We encourage you to continue checking this site for updated information.

What Does It Mean for You?

The One Big Beautiful Bill fundamentally reshapes how students finance their education. While this is not an exhaustive overview, the information provided is of greatest significance to the La Roche University community. Please choose from the dropdown menu below to determine how the changes may impact you. 

  • New Students

    Federal Pell Grant

    Students whose Scholarship and/or Grants cover their full Cost of Attendance

    Students who receive grants or scholarships from non-federal sources covering their entire cost of attendance (COA) are ineligible to receive a Federal Pell Grant, even if otherwise eligible for the program. (Effective July 1, 2026). 

    Federal Direct Student Loans

    Loan Proration for Part-Time Students

    Reduces the amount of a loan that a student may borrow for an academic year if the student is enrolled in a program of study on less than a full-time basis during that academic year.  (The guidance that analysts have provided indicates the effective date of this change will be for the 2026-2027 award year.) 

    Federal Direct Parent Loan for Undergraduate Students (PLUS) Loans

    The law includes new Parent PLUS loan limits (effective July 1, 2026): 

    • $20,000 per year cap per dependent student 
    • $65,000 aggregate limit per dependent student (without regard to amounts forgiven, repaid, canceled, or discharged)

    Graduate Student Loans

    Graduate students will be limited to an annual loan limit of $20,500 and a lifetime borrowing maximum of $100,000.   This limit does not include amounts borrowed as an undergraduate student.  

    The Graduate PLUS Loan program will be discontinued. 

  • Current/Returning Students

    Federal Pell Grant

    Students whose Scholarship and/or Grants cover their full Cost of Attendance

    Students who receive grants or scholarships from non-federal sources covering their entire cost of attendance (COA) are ineligible to receive a Federal Pell Grant, even if otherwise eligible for the program. (Effective July 1, 2026). 

    Federal Direct Student Loans

    Loan Proration for Part-Time Students

    Reduces the amount of a loan that a student may borrow for an academic year if the student is enrolled in a program of study on less than a full-time basis during that academic year.  (The guidance that analysts have provided indicates the effective date of this change will be for the 2026-2027 award year.)

    Federal Direct Parent Loan for Undergraduate Students (PLUS) Loans

    If a parent borrower has a Federal Direct PLUS Loan made before July 1, 2026, while the dependent student is enrolled in a credentialed program, the parent can continue to borrow under current loan limits for 3 academic years or the remainder of their dependent student’s expected time to credential, whichever is less.

    Graduate Student Loans

    Grad PLUS Loans

    The Graduate PLUS program is eliminated effective July 1, 2026, with legacy provisions for current borrowers to complete their program of study.  A legacy borrower is defined as a borrower who has a Grad PLUS loan made before July 1, 2026, and who is enrolled in a credentialed program. The borrower can continue to borrow from the program for three academic years or the remainder of their expected time to credential, whichever is less.

    Repayment Plan for Current Borrowers 

    Current borrowers with no new loans made on or after July 1, 2026, are eligible to enroll in the current Standard, Graduated, Extended, or current Income Based (IBR) repayment plans, and may also opt in to the new Repayment Assistance Plan (RAP). Current borrowers may also switch between, enter or remain on existing Income Driven Repayment (IDR) plans until July 1, 2028.

    Borrowers with loans made before July 1, 2026, who take out additional loans on or after July 1, 2026, will only have Repayment Assistance Plan (RAP) and the new standard repayment plan as options. 

If you have questions that are not answered at this site, please email the Office of Financial Aid at onebigbeautifulbill@laroche.edu.

Despite these changes, you still have multiple pathways to finance your La Roche education. Please visit Types of Aid.