The One Big Beautiful Bill Act (H.R.1), signed into law by President Trump on July 4, 2025. For students, families, and institutions like JMU, this bill is significant because it changes some rules related to the federal aid (Title IV) programs. Some of those changes impact Federal Direct Loans available to undergraduate students.
As of the development of this webpage, these changes are scheduled to go into effect July 1, 2026, and/or with the 2026-27 Free Application for Federal Student.
Current Limits (before July 1st, 2026)
- Annual and aggregate limits are based on dependency status
- Dependent students
- Freshman: $5,500
- Sophomore: $6,500
- Junior/Senior: $7,500
- Independent students
- Freshman: $9,500
- Sophomore: $10,500
- Junior/Senior: $12,500
- Dependent students
- Maximum Lifetime Borrow Amount:
- Dependent: $31,000 total
- Independent: $57,500 total
Changes Effective July 1st, 2026
- Loans must be prorated based on enrollment status
- Undergraduate Annual Limits: Unchanged
- Undergraduate Aggregate Limit: Unchanged
- Total Aggregate Limit: $257,500 across all federal loan programs (undergraduate and graduate)
Institutional Discretion
Schools may have the ability to set lower annual loan limits by program. Limits must apply uniformly to all students in the program.
The One Big Beautiful Bill Act introduces significant changes to federal student aid programs, and while some provisions are clear, many others require further clarification from the U.S. Department of Education.
We understand that students, families, and staff have questions—and so do we.
As we receive more guidance and official updates, we will continue to revise and expand this webpage to reflect the most accurate and actionable information available.
Other Federal Loan Updates
Mon - Fri 8 a.m. - 5 p.m.
Summer Hours of Operation:
Mon - Thur 8 a.m. - 5 p.m.
Fri 8 a.m. - 12 p.m.
