College graduates in the Class of 2026 are stepping into a radically different student loan landscape, one with fewer repayment options and stricter rules on debt forgiveness compared to previous years.
The revisions to the federal lending system follow the passage of President Donald Trump’s “big beautiful bill” last year and other policy changes enacted by the Trump administration.
Each year, roughly 2 million students earn bachelor’s degrees, according to the National Center for Education Statistics.
Roughly 60% of those students will have education loans, with an average balance of around $30,000, according to an analysis by higher education expert Mark Kantrowitz. The typical monthly student loan bill is $304.
Here’s what this year’s graduates should know about their federal student loans in light of the recent changes.
