PORTLAND (WGME) — New changes to the federal student loan program are impacting college students across the country.
The changes were brought on by the “Big Beautiful Bill.”
It includes new limits to how much a student can take out in government-backed loans and could affect some students’ ability to go to college.
The changes took effect in May, with some revisions in June.
In some cases, students will now have to pay more out of pocket to go to college.
“The amount of stress I’ve been under this summer is just crazy,” University of Maine-Farmington student Lindsay Bates said.
New changes to the federal student loan program are impacting college students across the country. (WGME)
In mid-July, Lindsay Bates got a nearly $13,000 bill from UMaine-Farmington for the upcoming fall semester.
“This is insanity,” Lindsay Bates said. “The bill is due tomorrow. We can’t just make money magically appear like that.”
“When you’re looking at this bill and the financial aid part is zero, it’s like, ‘How am I going to come up with $12,000, almost $13,000, between now and the 15th of August?’” mother Yvette Bates said.
As of Thursday, she still hadn’t heard from the college about financial aid.
“They’re like, ‘It’s pending. You’ll get it. You’ll get it soon. You’ll get it soon.’ They just kept telling me to be patient and wait,” Lindsay Bates said.
New changes to the federal student loan program are impacting college students across the country. (WGME)
“All of that has become a lot more complicated,” University of Southern Maine Director of Financial Aid Elizabeth Sarazin said.
Sarazin says colleges across the country are dealing with some of the same delays, brought on by federal changes to student loan eligibility and new limits on student financial aid.
“So, it’s the amount of aid that’s been tricky to determine,” Sarazin said. “The nitty gritty of, ‘How many dollars can you borrow?’ That’s really occupied a lot of our time this summer.”
Parent plus loans now have a $20,000 annual cap with a four-year-limit of $65,000.
Another concern among colleges is the federal government eliminating the graduate plus loan program for many grad students.
“You know, our nurses that we need so badly, and our OT students,” Sarazin said. “Social work students. These are professions that we really need, and students we really value. And their borrowing has been cut back.”
Lindsay Bates’ financial aid came through Friday morning, a day before her bill is due.
Instead of owing nearly $26,000 for the upcoming school year, student loans will cover all but $7,000.
Other students are still waiting.
“One of my friends, I texted today, and he still doesn’t have his,” Lindsay Bates said. “And I know there’s other students still that haven’t gotten theirs either, yet.”
Lindsay Bates and her mom say they want the federal government to stop messing around with financial aid.
“I mean these kids want to go to school and get an education so they can have a good, successful life, and the government is just making it harder and harder with all the changes that they come up with,” Yvette Bates said.
Undergrad and grad students aren’t the only ones worried about a loss in financial aid, so are colleges and universities.
If students don’t get the financial aid they need, they may be forced to drop out, which could lower enrollment on campuses across the country.
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