Graduate and professional students may be eligible for Federal Direct Unsubsidized Loans. These loans are not based on financial need, and interest begins accruing once the loan is disbursed.

Beginning July 1, 2026, federal legislation (commonly referred to as OB3) introduces changes to graduate student borrowing limits and loan programs.

 

Comparison of Current vs. New Federal Graduate Loan Programs

Important: Aggregate limits under the new rules do not include any federal loans borrowed during undergraduate study.

Institutional Loan Limits

Institutions may establish lower program-level loan limits for certain programs or academic tracks.

If implemented, these limits must:

• Be applied consistently to all students within the same program
• Be clearly communicated to students in that program
• Not exceed federal annual or aggregate loan limits

Students should consult their academic department or financial aid office if they have questions about program-level borrowing limits.

Legacy Provision for Current Students

Students who are currently enrolled in their program and have received a federal Direct Loan disbursement prior to July 1, 2026, may qualify for a legacy provision that allows continued borrowing under the current federal loan rules.

To qualify, a student must have received a disbursement of one of the following for their current program of study before July 1, 2026:

• Federal Direct Unsubsidized Loan
•  Federal Graduate PLUS Loan

for their current program of study prior to July 1, 2026.

 

Eligible students may continue to access federal loans at current borrowing levels for:

Three academic years, or
The remainder of their academic program
Whichever period is shorter.

 

Legacy Eligibility Requirements

Students must:

• Remain continuously enrolled in their program
• Maintain eligibility for federal student aid

Students who withdraw, stop attending, or take a leave of absence for any reason will lose their legacy status and will become subject to the new federal loan limits and program rules.

Graduate PLUS Loans Eliminated for New Students

Beginning Fall 2026, the Federal Graduate PLUS Loan program will be eliminated for new graduate and professional students.

Graduate PLUS loans currently allow students to borrow up to the full cost of attendance minus other existing aid that has already been offered, but this option will no longer be available to new borrowers under OB3 legislation.

 

Legacy Provision for Current Students

Students who are currently enrolled in their program and have received a federal Direct Loan disbursement prior to July 1, 2026, may qualify for a legacy provision that allows continued borrowing under the current federal loan rules.

To qualify, a student must have received a disbursement of one of the following for their current program of study before July 1, 2026:

• Federal Direct Unsubsidized Loan
• Federal Graduate PLUS Loan

for their current program of study prior to July 1, 2026.

 

Eligible students may continue to access Graduate PLUS loans, for:

• Three academic years, or
• The remainder of their academic program

Whichever period is shorter.

Legacy Eligibility Requirements

Students must:

• Remain continuously enrolled in their program
• Maintain eligibility for federal student aid

Students who withdraw, stop attending, or take a leave of absence for any reason will lose their legacy status and will become subject to the new federal loan limits and program rules.

Under OB3 changes, annual federal loan eligibility will be prorated based on a student’s enrollment intensity. Students who are enrolled less than full-time during the academic year may have their annual loan eligibility reduced proportionally based on their percentage of full-time enrollment.

To remain eligible for Federal Direct Loans, graduate students must be enrolled at least half-time, as defined by financial aid enrollment standards (which may differ from academic program standards). Students enrolled below half-time are not eligible to receive federal student loans.

If a student is enrolled less than full-time during an academic year, their federal loan eligibility will be reduced proportionally to reflect their percentage of full-time enrollment.

For example:

• A student enrolled at 75% of full-time status may receive up to 75% of the annual loan limit.
• A student enrolled at 50% of full-time status may receive up to 50% of the annual loan limit.

This proration ensures that borrowing levels align with a student’s actual enrollment status and academic participation.

 

If your classification changes (for example, from undergraduate to graduate) after submitting your FAFSA, your financial aid eligibility may change.

Students whose academic level is updated with their college should contact the financial aid office to review their aid eligibility and determine if updates to their financial aid offer are necessary.

If you are classified as a graduate student but are enrolled in undergraduate-level courses (for example, for a minor, certificate, or prerequisite coursework), those undergraduate courses cannot be counted toward your enrollment for graduate-level financial aid eligibility.

Only graduate-level coursework that applies to your graduate degree program can be used to determine your financial aid enrollment status and loan eligibility. Students should work with their academic department and the financial aid office if they have questions about how their course enrollment may affect their financial aid.

Graduate students may be eligible for summer financial aid depending on enrollment and remaining annual loan eligibility.

Summer aid is typically offered in the form of Federal Direct Unsubsidized Loans.

To qualify for federal student loans during the summer term:

• Students must be enrolled in at least 3 credit hours
• Students must have remaining eligibility within their annual loan limits to be awarded Federal Loans

If a student does not have remaining federal loan eligibility or is experiencing a Satisfactory Academic Progress (SAP) issue, they may consider private education loans as an alternative funding option. (https://www.depts.ttu.edu/financialaid/loans/)

For more information about private education loans, visit the financial aid loan page at Texas Tech University.

 

Employees of Texas Tech University may qualify for an Employee Tuition Assistance Waiver.

This benefit may provide partial to full tuition assistance for one course per semester, including:

• Fall semester
• Spring semester
• Summer terms

Eligibility and participation requirements are determined by university policy. Employees interested in using this benefit should consult the Human Resources department for eligibility questions. If eligible, Student Business Services should apply the waiver on your ebill. 

 

In addition to federal loans, graduate students may explore several other funding opportunities:

• Graduate Assistantships
• Fellowships
• Departmental Scholarships
• Research or Teaching Positions
• External Scholarships and Grants

Students are encouraged to work with their academic department and the Graduate School to explore all available financial support options.

 

International students may only complete the Free Application for Federal Student Aid (FAFSA) if they meet the federal definition of an eligible non-citizen.

Eligible non-citizens typically include individuals such as:

• U.S. permanent residents
• Individuals with refugee or asylum status
• Certain other immigration classifications recognized by the U.S. Department of Education

Students who do not meet these requirements are not eligible to complete the FAFSA or receive federal student aid.

Students can review the federal eligibility requirements on the website of Federal Student Aid.

While most international students are not eligible for federal financial aid, there are still several funding opportunities available at Texas Tech University.

International students may be eligible for:

• Private education loans (often requiring a U.S. co-signer)
• Grants and scholarships offered through the Texas Tech University Office of International Affairs
• Departmental funding opportunities

Students should consult with the Office of International Affairs and their academic department to learn about available funding options.

Some graduate programs offer a $1,000 Competitive Scholarship to help make students eligible for the Competitive Waiver, which reduces out-of-state tuition to the in-state tuition rate.

The Competitive Waiver is applied as a benefit of receiving a $1,000 Competitive Scholarship and is processed through Texas Tech University Student Business Services.

Availability and eligibility for these scholarships are determined by the academic department, and not all programs offer them. Students interested in this opportunity should contact their graduate program or department for more information about competitive scholarship opportunities.

 

Graduate students have several additional options to help fund their education.

Fellowships

Many departments offer graduate fellowships that provide financial support for students based on academic merit, research focus, or program funding.

Graduate Assistantships

Students may be eligible for employment opportunities such as:

• Teaching Assistantships (TA)
• Research Assistantships (RA)
• Graduate Part-Time Instructor positions (GPTI)

These roles often provide:

• Monthly stipends
• Tuition support or waivers
• Professional experience within the academic program

Students interested in these opportunities should contact their academic department to learn about available positions and application timelines.
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