Annual Loan Amounts Will Be Based on Total Enrollment for the Academic Year

Beginning July 1, 2026, federal Direct Loans will be calculated based on a student’s total enrollment for the entire academic year, not just by semester.

This means:

• Enrollment changes may affect total annual loan eligibility.
• Dropping or adding courses may change the total loan amount available for the year.
• Spring loan eligibility may depend on Fall enrollment.

Example

If a student:

• Enrolls full-time in Fall
• Enrolls part-time in Spring

Their total loan eligibility will be adjusted based on total credits attempted during the academic year.

Students should consult Financial Aid before making enrollment changes if they are borrowing federal loans.

Federal student loans have lifetime borrowing limits.

For undergraduate students:

• Dependent students: up to $31,000
• Independent students: up to $57,500

For students who previously borrowed graduate loans at another institution:

• Graduate aggregate limits may apply to total borrowing history.

Students who have attended other colleges should review their federal loan history at: studentaid.gov.

Beginning July 1, 2026:

• Parent PLUS Loans are capped at $20,000 per academic year
• Parent PLUS Loans are capped at $65,000 total (lifetime) per student

Important Notes

• The $65,000 limit is per student, not per parent.
• If two parents borrow, their combined total cannot exceed:
  • $20,000 per year
  • $65,000 lifetime
• Once the $65,000 limit is reached, no additional Parent PLUS Loans may be borrowed for that student.

Legacy Borrowers

Some families may qualify under “legacy” provisions if loans were borrowed prior to July 1, 2026.

Important:

• Students must remain enrolled at the same institution.
• Legacy eligibility may be limited to a set number of academic years.
• Students who transfer may lose legacy eligibility.

More guidance will be posted once federal regulations are finalized.

Will students receive additional unsubsidized loans if Parent PLUS reaches the limit?

No. Federal regulations do not provide additional unsubsidized loan eligibility once the Parent PLUS limit is reached.

What happens if I change my enrollment?

Your total annual loan eligibility may change. Contact Financial Aid before adjusting your schedule.

Do these changes affect Pell Grants?

No. These changes apply to federal student loans only.

When will these changes take effect?

July 1, 2026.

• There is an origination fee on each subsidized or unsubsidized loan. The fee is 1.057% for all loans first disbursed on or after Oct. 1, 2020.
• The interest rate and loan fee are listed on the disclosure statement students receive from the Department of Education after the loan is originated by the school.
• If you received your first Direct Subsidized or Unsubsidized Loan disbursement on or after July 1, 2023, and before July 1, 2024, it will have a fixed interest rate of 5.50%.
• If you received your first Direct Subsidized or Unsubsidized Loan disbursement on or after July 1, 2024, and before July 1, 2025, it will have a fixed interest rate of 6.53%.

• Complete the FAFSA. TTC’s school code is: 004920
• Submit any additional requested documentation.
• Students will be notified of award offer via my.tridenttech.edu email.
• Accept your pending loans in Financial Aid Self-Service.
  • You may accept less than the amounts offered.
• Complete the Student Loan Borrower Information Form.
• Complete a Master Promissory Note (MPN) at studentaid.gov/mpn.
• Complete Loan Entrance Counseling at studentaid.gov/entrance-counseling.
  • First time borrowers must complete entrance counseling. The entrance counseling requirement for the Federal Direct Loan program needs to be completed just once while in attendance at Trident Technical College; therefore, students who borrow in subsequent years need not repeat the entrance counseling requirement.

Students may be eligible for Federal Direct Student Loans if the following provisions apply:

• Enrolled as a regular student in a Title IV-eligible program
• Enroll in at least 6 credit hours in your program of study each semester
• U.S. citizen or eligible non-citizen
• Meets the need requirements specified
• Meets satisfactory academic progress toward completing program (TTC’s Satisfactory Academic Progress (SAP) policy) 
• Not in default on a Title IV loan received at any institution
• Has not met or exceeded annual and/or aggregate loan limits
• Not concurrently receiving Title IV financial aid from another institution of higher education
• Has not met or exceeded Pell lifetime eligibility limits
• Does not owe a refund or repayment on a Federal Pell Grant, Academic Competitiveness Grant (ACG), National Science and Mathematics Access to Retain Talent (SMART) Grant or Federal Supplemental Education Opportunity Grant (SEOG).

Exit Counseling Information

• Dependent students of the parents borrowing the PLUS loan must complete the FAFSA. 
• Borrowers will need to complete the Parent PLUS loan application at studentaid.gov/plus-app. Parent will log in with the parent’s FAFSA username and password.
• PLUS loan application results are sent to TTC for certification within 24-48 hours.
• If approved, the parent borrower must sign a Direct PLUS Loan Master Promissory Note (MPN).
• Students will be notified of their award through their my.tridenttech.edu email.

The borrower must:

• Be the parent (biological, adoptive or a step-parent if included on the FAFSA) of a dependent undergraduate student.
• Not have an adverse credit history.

The student is eligible if:

• Enrolled as a regular student in a Title IV-eligible program
• Enrolls in at least 6 credit hours in program of study each semester
• U.S. citizen or eligible non-citizen
• The student meets satisfactory academic progress toward completing their program (TTC’s Satisfactory Academic Progress (SAP) policy)
• Not in default on a Title IV loan received at any institution
• Has not met or exceeded annual and/or aggregate loan limits
• Not concurrently receiving Title IV financial aid from another institution of higher education
• Has not met or exceeded Pell lifetime eligibility limits
• Does not owe a refund or repayment on a Federal Pell Grant, ACG, National SMART Grant or Federal SEOG

For additional eligibility requirements, click here.

• Interest begins accruing when the loan is disbursed. There is no grace period for the interest on PLUS loans.
• Parent has the option of paying the interest monthly instead of letting it build until time for repayment.
• There is an origination fee on the PLUS loan. The fee is 4.228% for all Direct PLUS Loans first disbursed on or after Oct. 1, 2020.
• If you received your first Direct PLUS Loan disbursement on or after July 1, 2023, and before July 1, 2024, it will have a fixed interest rate of 8.05%.
• If you received your first Direct PLUS Loan disbursement on or after July 1, 2024, and before July 1, 2025, it will have a fixed interest rate of 9.08%.

• PLUS loan payments begin once the loan is fully disbursed.
• Borrowers may request a deferment while the student is enrolled at least half-time and for an additional six months after the student graduates, leaves school or drops below half-time enrollment. Borrowers do not have to make any payments while the loan is deferred. Contact your loan servicer for a deferment.
• The loan servicer will notify the borrower of when the first payment will be due.

For more information regarding student eligibility, interest rates, origination fees, repayment, loan limits, and other requirements for borrowing PLUS loans, click here.

Consider these points when choosing a lender:

• Interest Rate – It may be capitalized more often increasing the amount of money you ultimately owe. Consider using a cosigner. You may qualify for slightly lower rates.
• Fees – The interest rates and fees that you pay are based on your credit score and the credit score of your cosigner if you choose to use a cosigner.
• Borrower Benefits – These vary by lender.
• Repayment Terms – Some lenders require you to pay while you are in school. Others will defer payments until after graduation.
• Eligibility Requirements - Check the requirements for the loan.

As a result of the Truth in Lending Act (TILA) of 2009, borrowers will be required to submit a Private Education Loan Applicant Self-Certification to their lender before funds can be disbursed. Your lender will provide you with this form when you apply for the Private Alternative loan.

Note: Per the Department of Education, on a case-by-case basis, schools may refuse to certify/originate the loan for a borrower. Similarly, schools may certify/originate a loan for an amount less than the borrower’s maximum eligibility. However, schools must ensure that these decisions are made on a case-by-case basis, and do not constitute a pattern or practice that denies access to borrowers because of race, sex, color, income, religion, national origin, age, handicapped status, or selection of a particular lender or guarantor. If a loan is reduced or denied, the student will be notified in writing through their my.tridenttech.edu email.