Wherever you happen to be on your college journey, filling out the right financial aid forms and making sure your aid covers the cost of higher education each year is imperative to achieving your goals.
It’s important to remember that access to financial aid can change based on factors such as a new presidential administration or legislation passed by Congress.
Last summer, H.R. 1, a budget reconciliation bill, was passed into law, changing how federal financial aid is accessed and maintained.
Put simply, there are now old rules and new rules. The old loan rules will continue to apply to current “legacy students.” Legacy students (undergraduate or graduate), are those who borrowed prior to July 1, 2026, for their current program. Undergraduates can also be considered legacy students if their parent(s) borrowed on their behalf before July 1.
Zack Goodwin, assistant vice president of student financial aid at Marquette, says there are three things current students should keep in mind:
- The Graduate PLUS loan program is being eliminated. Current graduate students who have received a Federal Direct Loan prior to July 1, 2026, may be eligible to continue to participate in the Graduate PLUS program for up to three years or the remaining length of their program, whichever is shorter, as legacy students.
- Parent PLUS loans will also be subject to new restrictions. Parents who are borrowing on behalf of an undergraduate student can still access PLUS loans based on current rules if they, or the student, received a Direct Loan prior to July 1, 2026. This is true for up to three years or the remaining length of the program, whichever is shorter, for these legacy students.
- If a legacy student withdraws from all classes at any point, the new rules will apply. For graduate students, this is also true if they change programs.
“Students can reduce their course load significantly, but as long as they remain enrolled, they’re fine. But if they do cease enrollment, those provisions are moot,” Goodwin says. “So, if the student was receiving a Grad PLUS loan and they had to withdraw in the middle of the semester, when they came back, they would unfortunately no longer have access to Grad PLUS, as an example.”
The information provided in this article is current as of Feb. 23, 2026. Due to the changing landscape of federal student loan programs, please visit studentaid.gov or read more about changes coming to student financial aid on Marquette’s Financial Aid website.
“Just know that we have the resources at Marquette to assist students and families navigating financial aid,” Goodwin says. “There are ways through it, and for most of our current students they will still be able to access the aid that they are used to.”
If you have questions or concerns, please reach out to Marquette Central.
