University of North Texas 
Updates
2025 Reconciliation Bill: Federal Student Aid Updates - Effective Fall 2026
Overview
On July 4, 2025, the 2025 Reconciliation Bill (One Big Beautiful Bill Act) was signed into law, which includes several higher education provisions that will take effect July 1, 2026. For students enrolled at the University of North Texas, the July 1, 2026 changes are effective as of the Fall 2026 semester.
Several elements of the legislation are still under review through the U.S. Department of Education. The following website provides a summary of information on the changes that may impact your financial aid. The Financial Aid & Scholarships office is closely monitoring federal guidance and will update this website as additional details and changes are finalized by the U.S. Department of Education.
Federal Pell Grant Program
Effective Fall 2026, any student who is receiving grants (other than Pell) and/or scholarships that equal or exceed the student’s full Cost of Attendance (COA) will not be eligible to receive a Pell grant award.
The full Cost of Attendance (COA) includes estimated costs for tuition/fees, books/supplies, housing, meals, transportation and personal/miscellaneous costs. Please see Undergraduate Cost of Attendance (COA) for additional details regarding these estimated costs.
Federal Direct Loans - Schedule of Reduction (SOR) for Less Than Full-Time Enrollment
As of the Fall 2026 term, Federal Direct Subsidized/Unsubsidized Loans for students enrolled less than full-time* will be prorated based on actual enrollment. *Full-time enrollment at UNT is defined as the following:
- 12 or more hours per term for undergraduate programs
- 9 or more hours per term for graduate programs or enrollment in 3 or more hours of dissertation or thesis (courses numbered 5950/6950/6954) for doctoral or master’s students
Proration of federal direct loans for less than full-time enrollment means the amount of subsidized or unsubsidized loans offered will be reduced in direct proportion to a student’s actual enrollment when enrolled less than full-time.
The following are examples to help illustrate:
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An undergraduate dependent junior is typically eligible for a maximum of $3,750 in federal direct student loans a semester. As of Fall 2026, if that student enrolls in 6 hours, the maximum loan eligibility will be prorated based on actual enrollment. In this example:
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A graduate student is typically eligible for a maximum of $10,250 in federal direct unsubsidized loans a semester. As of Fall 2026, if that student enrolls in 6 hours, the maximum loan eligibility will be prorated based on actual enrollment. In this example:
*In this example, the 6 graduate hours are not dissertation or thesis (courses numbered 5950/6950/6954). A student enrolled in dissertation or thesis (courses numbered 5950/6950/6954) is considered full-time and would not be subject to proration due to less than full-time enrollment. However, students enrolled in thesis or dissertation without other enrollment may be offered a reduced loan limit due to reduced tuition charges. |
Parent PLUS Loan – Loan Limit Changes
Beginning July 1, 2026, the Parent PLUS Loan has an annual limit of $20,000 per year per dependent student.
Parent PLUS loans will also be limited to a lifetime limit of $65,000 per dependent student. These limits are tied to the student and are not changed if both parents wish to borrow on the student’s behalf (i.e., if both parents wish to take out Parent PLUS Loans – the annual and lifetime limit still applies for each student).
Legacy Provision: The parent of a dependent student who was enrolled in a bachelor's degree program at UNT and received a federal direct loan for that program prior to 7/1/2026 will be eligible to borrow under the prior Parent PLUS loan limit for a limited exception period under a "legacy provision". The legacy provision exception period is the lesser of:
- the difference between the total length of the program (e.g. 4 years for a bachelor’s degree) and the time period of the program the student has already completed,
- until the degree is earned, or
- 3 academic years
A break in enrollment toward the applicable degree program will result in a loss of eligibility for the legacy provision. A break in enrollment for this purpose is one of the following:
- Non-enrollment in a fall or spring term
- A complete withdrawal (official or unofficial) in a fall or spring term
Please note: A change of major for a student seeking a bachelor's degree is not considered a break in enrollment for legacy provision purposes but will not result in an extension to the time length of the program.
Graduate PLUS Loan – Program Elimination
Beginning July 1, 2026, Graduate PLUS Loans will be discontinued for new borrowers. This means that students in a new program of study as of Fall 2026 or who do not have a federal direct loan disbursed toward a current program of study prior to July 1, 2026 will not be eligible to apply for a Graduate PLUS loan.
Legacy Provision: A student who was enrolled in a graduate program at UNT and received a federal direct loan for that program prior to 7/1/2026 will be eligible to borrow under the Graduate PLUS program for a limited exception period under a "legacy provision". The legacy provision exception period is the lesser of:
- the difference between the total length of the program (e.g. 2 years for a 30 hour master’s degree) and the time period of the program the student has already completed,
- until the degree or credential is earned, or
- 3 academic years
A break in enrollment toward the applicable graduate program will result in a loss of eligibility for the legacy provision. A break in enrollment for this purpose is one of the following:
- Non-enrollment in a fall or spring term
- A complete withdrawal (official or unofficial) in a fall or spring term
- A change of program for a graduate student
Federal Direct Loans – Aggregate Loan Limits
Beginning July 1, 2026, the following borrowing limits will be enacted on federal direct student loans for new federal student loan borrowers as well as for students beginning a new program of study. The aggregate loan limits are program specific and include a $257,500 lifetime (i.e., all degrees/programs) borrowing limit.
Aggregate Loan Limits - New
| Program | Aggregate Limit |
|---|---|
| Dependent Undergraduate Student | $31,000 |
| Independent Undergraduate Student | $57,500 |
| Graduate Degree Student | $100,000 |
| Professional Degree Student* | $200,000 |
*This refers to programs defined by the Department of Education as a "Professional Degree". At UNT, this refers to the Clinical Psychology Ph.D. program.
Legacy Provision: A student who was enrolled in a program of study at UNT and received a federal direct loan for that program prior to 7/1/2026 will be eligible to borrow under the previous ("legacy") aggregate loan limits for a limited exception period. The legacy provision exception period is the lesser of:
- the difference between the total length of the program and the time period of the program the student has already completed,
- until the degree or credential is earned, or
- 3 academic years
A break in enrollment toward the applicable program of study will result in a loss of eligibility for the legacy provision. A break in enrollment for this purpose is one of the following:
- Non-enrollment in a fall or spring term
- A complete withdrawal (official or unofficial) in a fall or spring term
- A change of program for a graduate student
Please note: A change of major for a student seeking a bachelor's degree is not considered a break in enrollment for legacy provision purposes but will not result in an extension to the time length of the program. A student who is eligible for the legacy provision may not opt to borrow under the new aggregate loan limits.
Aggregate Loan Limits - Legacy
| Program | Aggregate Limit |
|---|---|
| Dependent Undergraduate Student | $31,000 |
| Independent Undergraduate Student | $57,500 |
| Graduate Degree Student | $138,500 (Includes loans borrowed as an undergraduate) |