{"id":19354,"date":"2025-12-12T20:08:18","date_gmt":"2025-12-12T20:08:18","guid":{"rendered":"https:\/\/financialaid.usc.edu\/?page_id=19354"},"modified":"2026-01-23T19:51:06","modified_gmt":"2026-01-23T19:51:06","slug":"obbba","status":"publish","type":"page","link":"https:\/\/financialaid.usc.edu\/obbba\/","title":{"rendered":"One Big Beautiful Bill Act (OBBBA):"},"content":{"rendered":" \n \n\n\n\n\n\n\n\n
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What You Need to Know<\/h1>\n\n\n\n<\/div>\n \n\n <\/div><\/div>\n\n\n\n\n\n\n \n \n \n\n\n\n\n\n\n\n
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Last updated: January 20, 2026<\/strong><\/p>\n

On July 4, 2025, the\u202f<\/span>One Big Beautiful Bill Act<\/span><\/i>\u202fwas signed into law, introducing significant changes to federal student aid programs<\/span>. Beginning\u00a0<\/span>July 1, 2026<\/span><\/b>, several\u00a0import<\/span>ant changes\u00a0will reshape how students and families pay for higher education.\u00a0<\/span>We are actively reviewing the legislation and will continue to share updates as\u00a0additional\u00a0guidance becomes available from the U.S. Department of Education and other relevant authorities.<\/span>\u00a0<\/span><\/p>\n

Below is a summary of what we know so far<\/span>,\u00a0<\/span>what these changes may mean for you<\/span>, and the steps you can take to begin preparing. The in<\/span>formation on this page is provided to help students and families navigate and prepare for the changes to federal student aid programs. While based on our\u00a0<\/span>good-faith<\/span>\u00a0understanding of the changes to come, we are still awaiting official guidance, and this information is subject to change at any time<\/span>.<\/span>\u00a0<\/span><\/p>\n

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General Eligibility Updates\u00a0<\/strong><\/p>\n

The new law introduces changes that make it especially important for students and families to understand if they are considered new or current borrowers, as that designation will\u00a0determine\u00a0which loan limits and rules apply. Knowing your status and how much\u00a0you\u2019ve\u00a0already borrowed can directly affect the amount of federal aid\u00a0you\u2019re\u00a0eligible to receive moving forward. As a result, some stud<\/span>ents may need to explore\u00a0additional\u00a0financing options, including private loans, to help cover remaining tuition and out-of-pocket costs.<\/span>\u00a0<\/span><\/p>\n

Institutions will be required to prorate annual federal loan amounts based on the number of units you\u2019re enrolled in.<\/span>\u00a0<\/span><\/p>\n

Effective date:<\/span><\/b>\u00a0Changes to federal loan programs take effect\u00a0<\/span>July 1, 2026<\/span><\/b>.<\/span>\u00a0<\/span><\/p>\n

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