New federal student loan changes took effect July 1, ending or narrowing key repayment options and rolling out new limits tied to the administration’s broader overhaul of federal aid. The changes include the end of the SAVE plan after court action, and they are expected to raise monthly payment costs for millions of borrowers, according to advocates and borrower-support groups. In parallel, borrowers and institutions are still navigating litigation over Public Service Loan Forgiveness (PSLF). Two federal judges struck down Trump administration restrictions on PSLF eligibility in rulings issued ahead of when the rules were set to take effect. The courts found the agency’s changes exceeded authority and risked violating First Amendment protections for speech. For financial-aid operations, the near-term impact is operational uncertainty: borrowers face time-limited windows to switch repayment plans after losing SAVE, while federal-program eligibility rules continue to change through court orders. Federal staff overseeing aid processing and institutional compliance must plan for rapid policy shifts while monitoring how loan and forgiveness rules interact with campus advising and default prevention strategies.