On July 4, 2025, the One Big Beautiful Bill Act (H.R. 1) was passed by the 119th Congress and signed into law. Beginning July 1, 2026, this legislation will introduce important changes that may affect how students and families pay for college. Aultman College will continue to monitor updates and provide guidance as more information becomes available.
We expect final federal guidance regarding these changes to be released on or before July 1, 2026. The information provided by Aultman College’s Financial Aid Office is intended to help current and prospective students understand and prepare for upcoming changes to the Federal Student Aid programs.
OB3 introduces changes to how students and families may pay for college, depending on whether they are current borrowers or new borrowers. Your borrower status will determine which federal loan rules and borrowing limits apply, as well as the amount of Federal Student Aid you may be eligible to receive moving forward.
As these changes take effect, some Aultman College students and families may need to explore additional financing options to help cover remaining tuition, fees, and other out-of-pocket costs. These options may include private education loans or other supplemental funding sources. The Aultman College Financial Aid Office will continue to share updates and resources to help students understand their options and plan accordingly.
Effective July 1, 2026
Parents of students entering Aultman College for the 2026–2027 academic year will be subject to new borrowing limits for the Federal Direct Parent PLUS Loan.
Maximum Annual Limit: $20,000 per student, per academic year**
Aggregate Limit: $65,000 per student
Parents of students currently attending Aultman College may continue borrowing under the current Federal Direct Parent PLUS Loan limits for up to three (3) academic years*.
* This applies if the parent or student borrowed a Federal Direct Loan on or before July 1, 2026, and the student remains in their current program of study.
** Parents who borrow the maximum $20,000 during their student’s first three years of study may have limited Parent PLUS Loan eligibility in the student’s final year.
Beginning July 1, 2026, colleges must consider a student’s enrollment status when determining federal loan eligibility. Students enrolled less than full-time may receive reduced loan funding. Additional details and federal guidance are expected.
Starting July 1, 2026, students with a Student Aid Index (SAI) that exceeds twice the maximum Federal Pell Grant award will not be eligible to receive a Federal Pell Grant.
Some students and families may need to explore additional financing options to help cover tuition, fees, and other educational expenses.
Private loans are unsecured educational loans offered by banks, credit unions, and other financial institutions. These loans must be repaid with interest, and interest rates typically depend on the borrower’s creditworthiness and/or that of a co-signer.
Students and families are encouraged to check their credit score early. Free credit reports can be obtained from Equifax, TransUnion, or Experian to review for errors, reduce existing debt, and ensure payments are current before applying for a private loan.
A co-signer is someone who agrees to share financial responsibility for a private loan, providing the lender with additional assurance that the loan will be repaid. This is often a parent, guardian, or trusted relative with a strong credit history who supports the student’s educational goals.
Important: If the borrower cannot repay the loan, the co-signer becomes legally responsible for repayment.
Students are also encouraged to seek outside scholarships, which are awards provided by organizations not affiliated with Aultman College. Any outside scholarships received must be reported to the Aultman College Financial Aid Office.
Scholarships may be based on academic achievement, personal qualifications, or field of study and may be offered by:
Community groups
Private organizations
Employers
Foundations
Professional associations
Students can begin their search using scholarship databases such as Fastweb or Finaid.org, and should remain vigilant against potential scholarship scams.
Students entering Aultman College after July 1, 2026, should carefully consider how OB3’s new federal loan limits align with their program costs, expected time to completion, and available financial resources. Planning ahead can help students and families better prepare for these changes and avoid unexpected expenses once the new rules take effect.
Review your Federal Loan history at StudentAid.gov to determine when you first borrowed loans for your current program.
Current Federal Loan Borrower: You received a Federal Loan disbursement before July 1, 2026
New Federal Loan Borrower: You did not receive a Federal Loan disbursement before July 1, 2026
A legacy provision allows parents who already have Parent PLUS Loans for dependent students to continue borrowing under the current loan limits for up to three (3) academic years, provided the student remains enrolled in the same program of study.
Parents who borrow a Parent PLUS Loan after July 1, 2026, will be limited to $20,000 per dependent undergraduate student per academic year, with an aggregate borrowing limit of $65,000 per student.
Example:
A parent has one dependent student currently attending Aultman College and another dependent student beginning at Aultman College in Fall 2026. If the parent or the current student borrowed a Federal Direct Loan before July 1, 2026, the parent may continue borrowing under the current loan limits for up to three (3) academic years for the continuing student. However, for the dependent student entering in Fall 2026, Parent PLUS Loan limits will be $20,000 per academic year, with a $65,000 aggregate limit.
Yes. Under OB3, federal loan eligibility will be based on a student’s enrollment status. If you enroll less than full-time, your eligible loan amount will be prorated, meaning you may receive a reduced loan amount based on the number of credit hours you are taking. The requirement to be at least part-time (enrolled in at least 6 credits) to receive federal loans remains the same.
Current borrowers are protected under existing loan provisions for up to three (3) academic years. If you do not complete your degree requirements within that timeframe, you will be considered a new borrower and will be subject to the new federal loan limits and requirements under OB3.