Important Federal Student Loan Changes Effective July 1, 2026

Changes to federal student loans were enacted on July 4, 2025. These changes will affect how graduate and professional students finance their education beginning on July 1, 2026.

For purposes of these changes:

  • MA, MA/CAGS, and Leadership PsyD students are classified as Graduate students.
  • Clinical Psychology PsyD students are classified as Professional students.

For New WJC Students (as of July 1, 2026)

For new students at WJC who enroll after July 1, 2026, the Grad PLUS program has been eliminated.

For Current WJC Students(prior to July 1, 2026)

If a student has a federal direct loan made before July 1, 2026, while enrolled in their current program of study at William James, the student can continue to borrow for 3 consecutive academic years or the remainder of their expected time to credential, whichever is less.

For New WJC Students (as of July 1, 2026)

New students who have not received a Direct Unsubsidized Loan disbursement before July 1, 2026 will be subject to the following new Direct Unsubsidized Loan limits:

  • Annual and Aggregate (lifetime) limits
  • Graduate: $20,500 annual; $100,000 aggregate
  • Professional: $50,000 annual; $200,000 aggregate
  • Borrowers who are both graduate and professional students at some point in their educational careers may only borrow up to $200,000 in total for graduate and professional school. 

For Current WJC Students(prior to July 1, 2026)

If a student has a federal direct loan made before July 1, 2026, while enrolled in their current program of study at William James, the student can continue to borrow for 3 consecutive academic years or the remainder of their expected time to credential, whichever is less.

For New WJC Students (as of July 1, 2026)

A separate lifetime limit of $257,500 applies to all federal student loans borrowed for undergraduate, graduate, and professional studies.

For Current WJC Students(prior to July 1, 2026)

If a student has a federal direct loan made before July 1, 2026, while enrolled in their current program of study at William James, the student can continue to borrow for 3 consecutive academic years or the remainder of their expected time to credential, whichever is less.

Requires institutions to prorate annual loan amounts in direct proportion to the percent of full-time status the student is enrolled.

*The information in the drop-down menus above is gathered from a document published by The National Association of Student Financial Aid Administrators

Financing Your Education

Scholarships

Several scholarships at William James College are merit scholarships. These scholarships are awarded in your offer of admission letter. Your financial aid award letter will include any scholarships you’ve been awarded, but will not include any additional scholarships, just loans and work-study if applicable.

Private Loans are Available but do not qualify for Federal Loan Repayment Programs

You may also consider private loans as another option to finance your education—ELMselect has some lenders listed. Please note: You will be billed after registration. We recommend waiting until then to apply for a private loan so you will know how much you need. 

Next Steps

The information above reflects the most current guidance available but is subject to change. We will continue to keep this page updated as new information is provided by the Federal government. If you have any questions, please contact us at financialaid@williamjames.edu.