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At Carlow University, the next generation of ethical leaders is already in the making.
Here, our students gain more than just a degree – they build connections, find purpose, and thrive – working in ways big and small to reshape the future. With your support, we can continue to invest in these future leaders and expand their ability to transform our world.
How You Can Support
At Carlow University, the next generation of ethical leaders is already in the making.
Here, our students gain more than just a degree – they build connections, find purpose, and thrive – working in ways big and small to reshape the future. With your support, we can continue to invest in these future leaders and expand their ability to transform our world.
How You Can SupportThe One Big Beautiful Bill Act (OBBBA) was signed into law on July 4, 2025, as part of comprehensive education reform legislation. The bill introduced major changes to federal student aid programs, effective July 1, 2026.
While a summary is provided below, we encourage all students and families to regularly check the official information on the OBBBA Resources listed below.
OBBBA Resources
- Full Legislation Text
- US Department of Education Updates
- Federal Student Aid One Big Beautiful Bill Act Updates
2026-27 FAFSA Changes
Family farms on which the family reside, and family-owned businesses with 100 or fewer full-time employees, will no longer be counted as assets on the FAFSA. Family-owned commercial fisheries are now also exempt from asset reporting.
Pell Grant Updates
Students whose Cost of Attendance (COA) is fully covered by non-federal aid will no longer be eligible for a Federal Pell Grant. Example: A Pell-eligible student with a scholarship covering the full Cost of Attendance will no longer receive the scholarship and the Pell Grant.
tudents with an SAI greater than twice the maximum Pell Grant amount will no longer be eligible for any Pell Grant.
Example: If maximum Pell Grant is $7,395, students with SAI over $14,790 will not qualify for Pell.
Federal Direct Student Loans for Undergraduates
Under OBBBA, Federal Direct Student Loan eligibility will be calculated based on credit load, ensuring students only borrow an amount in proportion to their enrollment intensity. For example, a student enrolled half-time in 6-8 credits will only be able to borrow half of the standard annual loan limit.
There are no changes to the annual and aggregate undergraduate loan limits.
Federal Direct Parent PLUS Loans
Under OBBBA, the annual limit will be $20,000 per student with an aggregate limit of $65,000 per student.
Currently there are no annual or aggregate limits for Federal Direct Parent PLUS Loan. Under the Legacy Provision, parents of dependent undergraduates who have borrowed a Parent PLUS loan—or if the student borrowed a subsidized/unsubsidized loan—that disbursed before July 1, 2026, may continue to borrow under current, higher limits for 3 more years, or until the student graduates, whichever is less.
Federal Direct Loan for Graduate Students
The current annual limit is $20,500 per year and an aggregate limit of $138,500 which includes undergraduate borrowing.
Under OBBBA, the annual limit remains $20,500 but must be prorated for students who enroll less than full-time. The aggregate limit will be $100,00, excluding any loans borrowed as an undergraduate.
Students enrolled in programs federally defined as “professional” have a higher annual and aggregate limit. Currently Carlow does not have any programs that meet the federal definition of professional.
Under OBBBA, Federal Direct Student Loan eligibility will be calculated based on credit load, ensuring students only borrow an amount in proportion to their enrollment intensity. For example, a graduate student enrolled half-time in 3-5 credits will only be able to borrow half of the standard annual loan limit.
Federal Direct Graduate PLUS Loan
Under OBBBA, Graduate PLUS Loan has been eliminated for new borrowers.
The Legacy Provision allows students who have a federal direct loan disbursed before July 1, 2026 can access Graduate PLUS for up to three additional years or until program completion, whichever is shorter.
Private Loans will continue to be available to students. Carlow uses ELMSelect, an on-line student loan comparison tool that lists the lenders our students use most often. However, you have the right to choose any lender whether they are on our list or not.
Federal Direct Loan Repayment
OBBBA eliminates most current income driven plans and replaces them with a new Repayment Assistance Plan and a restricted standard plan. Effective July 1, 2026, borrowers will choose between a restructured standard plan (10-25 year term) or the new RAP which sets repayment between 1% and 10% of discretionary income for a 30-year term.
SAVE, PAYE and ICR plans are eliminated for new borrowers. Existing borrowers on these plans can remain until 2028.
A $10 minimum monthly payment will apply under the new RAP for low-income earners.
The new RAP offers forgiveness after 30 years.
More information about loan repayment under OBBBA can be found on the PHEAA website.
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Carlow University prohibits sex discrimination in any education program or activity that it operates. Individuals may report concerns or questions to the Title IX Coordinator, Jackie smith at jmsmith@carlow.edu or 412-578-6050.