Federal Loan Proration

For both undergraduate and graduate students enrolled less than full-time, federal law requires institutions to prorate annual loan amounts based on their enrollment status, starting July 1, 2026. This means your federal loan eligibility will be reduced if you are enrolled less than full-time. This rule applies to all students, including those who qualify under the Legacy Provision.

Loans will be adjusted when the Office of Student Financial Aid has determined a student’s enrollment is less than full-time in any given semester, as defined by the University Registrar.

The formula for prorating loans is: Annual Loan Limit x (number of credits enrolled/full-time academic year credits)

  • Enrolling less than full-time or dropping below full-time can reduce your loan eligibility. 
  • Plan your full year schedule. Your loan eligibility is calculated based on Fall + Spring combined enrollment. It will also include Summer if you enrolled over the summer semester.
  •  Contact Financial Aid before dropping. We can show you exactly how a drop will affect your financial aid.

No, Parent PLUS Loans do not have to be prorated. While the One Big Beautiful Bill Act (OBBBA) requires other federal student loans to be reduced in proportion to a student’s enrollment status (if enrolled less than full-time), Parent PLUS Loans are exempt from these proration adjustments.

Undergraduate students are considered full-time at 12 credit hours per term during the fall and spring semesters. The following are a few examples that show how undergraduate student federal loan eligibility may change based on the number of credits enrolled.

Example 1: Full-Time Both Semesters (No Proration)
Fall enrollment: 12 credits
Spring enrollment: 12 credits
Total credits: 24 credits enrolled / 24 credits in the academic year (100%)
Total loan: $5,500 x 100% = $5,500
Fall loan: $2,750
Spring loan $2,750

Example 2: Drop During Fall Semester
Fall enrollment: 12 credits
Spring enrollment: 12 credits
Total credits: 24 credits enrolled / 24 credits in the academic year (100%)
Annual loan limit: $5,500
Student drops to 9 credits in the fall
Prorated total credits: 21 credits enrolled / 24 credits in academic year (88%)
Prorated loan total: $5,500 x 88% = $4,840
Prorated Fall loan: $2,090
Spring loan: $2,750

Example 3: Part-Time Both Semesters
Fall enrollment: 9 credits
Spring enrollment: 9 credits
Total credits: 18 credits enrolled / 24 credits in the academic year (75%)
Prorated loan: $5,500 × 75% = $4,125
Prorated Fall loan: $2,063
Prorated Spring loan: $2,062

Example 4: Graduating Senior (One Semester Only)
Fall enrollment: 12 credits
Student graduates in December (no Spring enrollment)
Total credits: 12 credits enrolled / 24 credits in academic year (50%)
Maximum fall semester loan: $5,500 × 50% = $2,750
Fall loan: $2,750

Graduate students are considered full-time at 9 credit hours per term during the Fall and Spring semesters.  The following are a few examples that show how graduate student federal loan eligibility may change based on the number of credits enrolled.
Example 1: Full-Time Both Semesters
Fall enrollment: 9 credits
Spring enrollment: 9 credits
Total credits: 18 credits enrolled / 18 credits in the academic year (100%)
Total loan: $20,500 × 100% = $20,500
Fall loan: $10,250
Spring loan: $10,250

Example 2: Drop During Fall Semester
Fall enrollment: 9 credits
Spring enrollment: 9 credits
Total credits: 18 credits enrolled / 18 credits in the academic year (100%)
Annual loan limit: $20,500
Student drops to 6 credits in the fall
Prorated total credits: 15 credits enrolled / 18 credits in academic year (83%)
Prorated loan: $20,500 × 83% = $17,015
Prorated Fall loan: $6,765
Spring loan: $10,250

Example 3: Half-Time Both Semesters
Fall enrollment: 4.5 credits
Spring enrollment: 4.5 credits
Prorated total credits: 9 credits enrolled / 18 credits in the academic year (50%)
Annual loan limit: $20,500
Prorated loan: $20,500 × 50% = $10,250
Prorated Fall loan: $5,125
Spring loan: $5,125

Example 4: Proration with Grad PLUS Loan (COA for illustrative purposes only)
Cost of Attendance (COA): $81,504
Total Unsubsidized loan eligibility: $20,500
Total Graduate PLUS loan eligibility: $61,004
Fall enrollment: 4.5 credits
Spring enrollment: 9 credits
Prorated total credits: 13.5 credits enrolled / 18 credits in the academic year (75%)
Prorated Unsubsidized eligibility: 20,500 x 75% = $15,375
Prorated Graduate PLUS eligibility: $61,004 x 75% = $45,753
Fall totals: Unsubsidized loan $5,125; Graduate PLUS loan: $15,251
These reflect 25% of total loan eligibility
Spring totals: Unsubsidized loan $10,250; Graduate PLUS loan $30,502
These reflect 50% of total loan eligibility 

Example 5: One Semester Capstone Class (School of Continuing Studies)
Fall enrollment: 3 credits
Prorated total credits: 3 credits enrolled / 9 credits in the academic year (33%)
Annual loan limit: $10,250
Prorated Unsubsidized eligibility: $10,250 × 33% = $3,383
Fall prorated loan: $3,383