MOUNT PLEASANT, Mich. (WNEM) – Students are heading into the next school year with questions as President Donald Trump’s One Big Beautiful Bill calls for changes to the federal student loan program.
Those who work in financial aid say they are in the same boat as college students. Sarah Kasabian-Larson, director of scholarships and financial aid at Central Michigan University (CMU), tells TV5 she is still waiting to hear more on the specifics of the changes to the federal student loan program.
“We currently have actually not received a ton of guidance around all these changes and what it means,” said Kasabian-Larson.
Kasabian-Larson said she told students about the federal loan changes and is working to answer any questions that they have. Kasabian-Larson thinks there will be more clarity after the U.S. Department of Education wraps up a series of meetings.
“The Department of Education announced recently, just a week or so ago, that they are doing first a public hearing and then two groups of negotiated rule making so that they can take these new rules that have come out and then put further regulations around it of how we’re going to implement it,” said Kasabian-Larson.
Kasabian-Larson said that under the One Big Beautiful Bill, students who are not full-time will have their loans prorated. Professional students, like nursing students, will have their unsubsidized loans capped at $200,000, down from $238,000. Parent PLUS loans will be capped at $20,000 per year and $65,000 during the life of the loan.
Kasabian-Larson also said many students, in most cases, will be grandfathered into their current loan programs for up to three years. She said most of the changes for new loans take effect in July 2026 or later.
“While there is quite a bit of changes that are coming to the federal student aid programs, in particular, student loans, I do believe that there are some solutions that we can look into once we get to that part,” said Kasabian-Larson. “Students should still stay in school and keep working towards their goals.”
In the meantime, Kasabian-Larson tells TV5 she is focused on helping students navigate the evolving landscape of federal student loans.
“Through all of this, being there for our students is our number one priority.,” said Kasabian-Larson. “We just keep that at the center of everything that we’re doing.”
In 2023, 68 percent of undergraduates at CMU received financial aid through loans.
CMU wants to remind students and their families that there are plenty of scholarships and grants out there. For information on how to find them, click this link.
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