Major Student Loan Changes Are Coming: What Borrowers Need to Know

Last week, the National Urban League hosted a webinar, “The Future of Student Loans: Preparing for Major Changes Ahead,” which provided an overview of the significant student loan reforms included in H.R. 1, also known as the “Big Ugly Bill.”

Several of the new policies take effect on July 1, 2026, leaving borrowers and their families with limited time to make important financial decisions. As the student loan system undergoes major changes, borrowers will face new borrowing limits, fewer repayment options following the elimination of the SAVE Plan, stricter loan forgiveness requirements, and other significant policy shift .

For millions of borrowers, these changes could mean higher monthly payments, fewer repayment options, and greater financial strain. As families continue to face rising costs and economic uncertainty, the new policies may create additional financial hurdles at a time when many families are already feeling stretched thin.

The webinar encouraged borrowers to take proactive steps now, including reviewing their repayment options, contacting their loan servicer, and staying informed about upcoming policy changes. Taking action early can help borrowers better prepare for the transition and avoid unexpected financial challenges.

As policymakers continue to reshape the student loan landscape, staying informed and taking early action will be critical for borrowers to minimize costs and  make the best decisions for themselves and their families.