Student loans can be used to pay for a variety of costs associated with your college education, such as tuition and fees, room and board, books and supplies, transportation, and the purchase of a computer or software. However, while borrowing funds may be a wise investment, it deserves careful consideration; all student loans must be paid back, including interest and fees. Before deciding to take out a loan, be sure to look for free money first, such as grants and scholarships, and speak to a CCV Financial Aid Counselor about other funding options. If you meet eligibility requirements you can submit a Federal Loan request here (CCV login required).
Enacted in July 2025, the One Big Beautiful Bill Act (OBBB) made significant changes in federal student loan programs. The following changes took effect on July 1, 2026. Please contact your financial aid counselor with any questions about how these changes may impact your educational experience at CCV.
- Part-time enrollment now automatically reduces federal loan eligibility in proportion to the number of credits a student is registered for, rather than just requiring a half-time status.
- Students should speak directly with a Financial Aid Counselor if they have questions about part-time enrollment.
A student that has completed less than 30 credits that is enrolled full-time and independent on their FAFSA can borrow up to $9500 in federal student loans for the school year. ($10,500 for students that have completed more than 30 credits.)
A student that has completed less than 30 credits that is enrolled full-time and is dependent on their FAFSA student can borrow up to $5500 in federal student loans for the school year ($6,500 for students that have completed more than 30 credits.)
Examples of Reduction:
Independent first-year who takes 12 credits in the fall and 12 credits in the spring. Their maximum federal loan would be $4750 in the fall and $4750 in the spring.
Independent first-year who takes 6 credits in the fall and 6 credits in the spring. Their maximum federal loan would be $2375 in the fall and $2375 in the spring.
Dependent first-year who takes 12 credits in the fall and 12 credits in the spring. Their maximum federal loan would be $2750 in the fall and $2750 in the spring.
Dependent first-year who takes 6 credits in the fall and 6 credits in the spring. Their maximum federal loan would be $1375 in the fall and $1375 in the spring.
- Starting July 1, 2026, Parent PLUS loans will be capped at $20,000 per student per year, with a $65,000 lifetime limit per dependent student.
- Existing Parent PLUS borrowers who have borrowed for their students before July 1, 2026, can continue with borrowing up to the cost of attendance for 3 more years or until the student’s academic program ends.
For new loans disbursed after July 1, 2026, the bill eliminates current income-driven repayment plans (IBR, PAYE, SAVE) and replaces them with two repayment choices:
- Repayment Assistance Program (RAP), new income-driven plan
- Tiered Standard Plan, fixed payments over 10-25 years depending on loan balance
- Students who have borrowed loans before July 1, 2026, and will borrow a new loan after July 1, 2026, are limited to the new RAP or the Standard plans for the new loan.
- RAP borrowers will not be locked into a 30-year plan. They can switch to a standard plan, which ranges from 10 to 25 years.
- Borrowers with no new loans made on or after July 1, 2026, can continue to be eligible to enroll in the current Standard, current Income Based (IBR), Graduated, and Extended repayment plans, and could also opt in to the new RAP.
- SAVE, PAYE, and ICR borrowers must transition to an eligible repayment plan by July 1, 2028. The Department of Education guidance indicates that borrowers who fail to select a new plan may be automatically placed into a Standard repayment option, although additional implementation guidance regarding the 2028 transition is still expected.
Types of Federal Loans
Federal Direct Loans are available to students who qualify for federal financial aid and are enrolled in at least six credits per semester. If you decide to borrow, there are two types of Federal Direct Loans: subsidized and unsubsidized. Eligible parents of dependent students can also take out Direct Parent PLUS loans.
Federal Subsidized Direct Loans
These loans are available based on your demonstrated financial need, determined by information provided on your FAFSA®. The federal government will pay the interest on a subsidized loan while you are in school and completing your program successfully. There are limits on how much you can borrow based on your year in school.
Federal Unsubsidized Direct Loans
Unsubsidized direct loans are available for students who don’t demonstrate financial need. You are responsible for all interest that accrues on the loan. You may choose to make interest payments while in school or defer interest payments, which will then be added to the principal of the loan. There are limits on how much you can borrow based on your year in school.
Federal Parent PLUS Loans
PLUS loans enable parents with good credit histories to borrow money to help pay for their child’s college expenses. The student must be enrolled at least half-time in a degree program. Parents can borrow up to the student’s full cost of education less other types of financial aid. If your family is interested in borrowing a Parent PLUS loan, please contact your Financial Aid Counselor.
Loan Exit Counseling
If you are leaving or graduating from CCV and you have borrowed a Federal Direct Loan, you are required to complete Loan Exit Counseling. Click here for exit counseling.
Steps to Apply for a Loan
You must be enrolled in at least six credits required for your degree or certificate program and have completed a FAFSA. You can also follow these steps:
- Complete BOTH the Master Promissory Note and Loan Entrance Counseling for Subsidized/ Unsubsidized loan type at studentaid.gov.
- After completing the Master Promissory Note and Entrance Counseling, contact your Financial Aid Counselor to determine the amount you need to cover your tuition, fees, books, and other qualified expenses.
- Once the semester begins, go to class! Attendance in six credits is needed to maintain eligibility for your loan.
Frequently Asked Questions
Does EdAmerica work with CCV?
Yes, CCV has partnered with EdAmerica to support our former students in successfully repaying their federal student loans. If you borrowed loans through CCV, you may receive emails, phone calls, and text messages from EdAmerica.
To learn more about our partnership with EdAmerica, you can check out our co-branded web page at: https://edrepay.com/ccv/. You can also contact EdAmerica for assistance in repaying your student loans by contacting them at:
Edamerica Student Loan Help Team Email: studentloanhelp@edamerica.net
Edamerica Student Loan Help Team Phone Number: 1-855-210-3543
What is the interest rate?
Interest rates are typically fixed for federal student loans, and change depending on when your loan was taken out. The federal government maintains an ongoing chart of interest rates.
What is a Loan Servicer?
A loan servicer is a company that handles the billing and other services on your federal student loan. The loan servicer will work with you on repayment plans and loan consolidation and will assist you with other tasks related to your federal student loan. It is important to maintain contact with your loan servicer. If your circumstances change at any time during your repayment period, your loan servicer will be able to help.
Who is my Loan Servicer?
Login to studentaid.gov to find the name of your federal loan servicer as well as your complete financial aid history.
How much is my monthly payment going to be?
You can get exact estimates of your monthly payments or plan for the future by adding in anticipated student loans by using the Repayment Estimator on studentaid.gov.
What happens when I’m having difficulty repaying my loan?
There’s help available. It is important to ask for help as soon as making timely payments becomes an issue. The best thing to do is to work with your loan servicer to discuss options, which may include forbearance, consolidation, or a modified payment plan. There is also information on repayment and avoiding and resolving defaulted loans at studentaid.gov. CCV financial aid counselors can also answer your questions.
What if I have an issue with my loan servicer?
If you are unable to clarify or resolve a federal student loan issue, the Department of Education offers an ombudsman service available at studentaid.gov/feedback-ombudsman/disputes/prepare.
What repayment options are available?
There are several options that can change your repayment schedule, suspend, or reduce your payments. Eligibility varies depending upon the option you pursue. Please contact your student loan servicer to discuss repayment options in more detail.
