The One Big Beautiful Bill Act and Changes to Financial Aid

Please read the information below as these federal changes will impact your financial aid at HACC beginning with the fall 2026 semester.

On July 4, 2025, the One Big Beautiful Bill Act was signed into law, resulting in significant changes to federal student aid programs. An overview of the changes and their effective dates are provided below. Further details are available from Federal Student Aid.

Last Updated: June 08, 2026

Loan Proration for Less Than Full-Time Borrowers

Effective for the 2026-27 academic year

Students must still be enrolled in six eligible credits to qualify for federal loans.

Federal student loan amounts must be prorated based on the number of credits a student attends. If a student does not attend full-time, they are not eligible for the full annual loan amounts. Loan amounts are prorated based on the student’s enrollment status each semester. For example, a student enrolled half-time for the full academic year (e.g., 6 credits in the Fall and 6 credits in the Spring) may be eligible to receive up to 50% of the annual loan eligibility.

As another example, an undergraduate student must take 12 hours per semester for a total of 24 hours in the academic year to be considered full time.   A freshmen student who is enrolled in 6 hours during the fall semester would be eligible for 25% (6/24) of the annual loan limit of $3,500 ($875) in the fall semester.  If this same student enrolled for 9 hours in the spring, the remaining eligibility would be calculated as follows: 6 hours for fall + 9 hours for spring or 15/24 (63%) of the annual loan limit minus the $875 received in the fall, awarding the student $1,330 for the spring.  

Note: Any courses that are dropped during the fall semester after the initial fall disbursement must be considered when calculating the remaining eligibility for the spring disbursement.

Please visit our Financial Aid Frequently Asked Questions (FAQs) page to find enrollment status definitions based on the number of credits.

Note: Half-time enrollment is still required for each semester in order to receive federal student loans.

New Federal Student Loan Limits

For first-time borrowers with an enrollment period that begins on/after July 1, 2026
Undergraduate loan limits – annual and aggregate – remain the same. More information on loan limits by grade level and dependency status is available Loan Amount Limits.

* Aggregate and lifetime limits are calculated without regard to any amounts that have been repaid, forgiven, canceled, or otherwise discharged.

Note: Annual loan limits may vary based on the student’s academic grade level and dependency status.

Note: Graduate and professional student loan limits are not included. Harrisburg Area Community College does not offer programs classified as “graduate or professional programs” by the U.S. Department of Education.

Students who are not eligible for enough aid for any reason may seek private loan options from a lender of their choice. The ELM Select tool provides information on lenders used by students at Harrisburg Area Community College over the past years. We encourage students to apply for scholarships as well.

Federal Pell Grant Ineligibility Due to Receipt of Non-Federal Assistance

Effective July 1, 2026

Students whose entire cost of attendance is covered by grants or scholarships from non-federal sources may be ineligible for a Pell Grant, even if they are otherwise eligible for the program. The eligibility will be determined by the timing of disbursement.

Changes to Federal Student Loan Repayment Plans

Effective July 1, 2026

Borrowers with new loans made on/after July 1, 2026, can be repaid only using the two new plans below, and all loans must be on the same plan. Current borrowers with no new loans may continue in an existing plan or switch to one of the new plans.

Standard Repayment Plan
•    Fixed repayment terms of 10, 15, 20, or 25 years, based on the amount borrowed
•    Borrowers with new loans will be assigned accordingly if another plan is not selected.
•    This plan is required for new Parent PLUS loans.

Repayment Assistance Plan
•    Monthly payment will be 1-10% of income based on adjusted gross income.
•    Minimum monthly payment is $10.
 

Other rules may apply to consolidation loans. More information can be found on Student Loan Repayment. All borrowers are encouraged to find their federal student loan servicer by logging in at Federal Student Aid. The servicer will handle billing and work with borrowers to determine their repayment options.
 

Note: This information is subject to change as final rules have not yet been determined. Updates will be made as additional guidance becomes available from the U.S. Department of Education.