As a result of the One Big Beautiful Bill Act (OBBBA), federal student loan borrowing amounts have changed. This will apply to all BRTC student (not parent) borrowers with Direct Subsidized, Direct Unsubsidized, and/or Graduate PLUS loans (even those considered legacy borrowers who borrowed prior to July 1, 2026).
Note: Parent PLUS loans are not subject to these adjustments.
Beginning in Fall 2026, fall and spring loans will be prorated as follows:
| Student Category | Definition | Loan Award Amount |
| Fulltime | Students taking 24 credit hours or more during the fall and spring semesters (12+ credit hours each semester) | Eligible for full loan amount |
| Half-Time | Students taking 12-23 credit hours during the fall and spring semesters (6-11 credit hours in both or 1 semester) |
Eligible for a reduced loan amount based upon the following formula, called the Schedule of Reduction (SOR):
|
| Less than Half-Time | Students taking fewer than 6 hours in a semester | Not eligible for federal student loans |
Example of a Schedule of Reduction (SOR)
Requested Loan Amount: $5,000 to be split between the Fall and Spring semesters
Distribution of Requested Amount:
Fall
Enrolled 9 credit hours (hrs)
9 hrs/24 hrs x 100 = 37.5% = $1,875
Spring
Enrolled 12 credit hours (hrs)
12 hrs /24 hrs x 100 = 50% = $2,500
For More Information
To read the One Big Beautiful Bill Act (OBBBA) visit https://www.congress.gov/bill/119th-congress/house-bill/1/text
To read more about the Federal Student Loan program changes, visit https://www.federalregister.gov/documents/2026/05/01/2026-08556/reimagining-and-improving-student-education-federal-student-loan-program-final-regulations
To read the final rules from the Accountability in Higher Education and Access through Demand-driven Workforce Pell (AHEAD) rulemaking committee, visit https://www.federalregister.gov/documents/2026/05/19/2026-10013/accountability-in-higher-education-and-access-through-demand-driven-workforce-pell-pell-grant
