Introduction
On July 4, 2025, the One Big Beautiful Bill Act was signed into law, introducing significant revisions to federal student aid programs. Some of these changes went into effect immediately, while others will go into effect on July 1st, 2026.
Below are some highlights of the changes to come, and how they impact JD students.
Important Changes and Updates
What is changing and when?
Starting July 1, 2026, the Graduate PLUS loan program will be eliminated for new borrowers at UIC Law. Some continuing students will qualify for a limited exception and be able to continue borrowing Graduate PLUS Loans.
New Annual Direct Unsubsidized Professional Loan Limit
$50,000
New Aggregate Borrowing Limit for Professional Students
$200,000
New Lifetime Borrowing Limit
$257,500 for all Federal Direct loans, including Graduate PLUS, for all levels of study.
*Continuing students can continue to borrow Graduate PLUS beyond this limit while they qualify for the limited exception. If they cease to qualify for limited exception for any reason, they will be subject to the new limits outlined above.*
Limited Exception
The law allows some students to continue borrowing the Graduate PLUS without being subject to the new Direct Unsubsidized lifetime borrowing limits under a limited exception through their time to degree completion, for a maximum of three years.
Students may qualify for the limited exception if:
- They remain continuously enrolled in the same program of study at the same institution as of June 30, 2026
- They had a Direct Loan disbursed (Direct Unsubsidized or Graduate PLUS) for that same program before July 1, 2026
- The limited exception maintains the current annual limit of $20,500 for Direct Unsubsidized Loans. Students cannot elect to waive their limited exception eligibility
- They do not exceed a three-year timeline to complete their degree. Part-time students will NOT qualify for a limited exception after their third academic year at UIC Law
Student Loan Proration
Students who enroll part-time will have their Federal Direct Unsubsidized and/or Graduate PLUS Loans (if they qualify for Graduate PLUS under the limited exception) prorated if they enroll in less than 12 credit hours for a fall or spring term.
Federal Loan Repayment Plans
Student Loan Repayment Options As of July 1, 2026:
https://www.nasfaa.org/uploads/documents/OB3_Repayment_Plan_Chart.pdf
updates
***The One Big Beautiful Bill Act Updates page will continue to be updated as new information becomes available. ***