Students starting college next year will face a dramatically different federal financial aid system than the one their older siblings and parents encountered, experts say, due to changes enacted this summer as part of President Donald Trump’s "One Big Beautiful Bill Act."

The changes are meant to address the nation’s student debt crisis. More than 40 million Americans carry student debt, with an average federal loan balance of more than $39,000, the Education Data Initiative reported this year.

Many of the changes — including new borrowing limits for students and parents, and more stringent repayment terms — will go into effect on July 1, 2026.

As students face stricter new federal loan rules, financial aid experts are urging college applicants to maximize their chances of getting grant

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