New federal student loan changes took effect July 1, ending the Biden-era SAVE repayment plan and altering repayment options and limits for graduate borrowing. Federal student loan servicers began sending notices to borrowers enrolled in SAVE, giving them a 90-day window to move to another income-driven plan before potential auto-enrollment into standard options. Higher education institutions and financial aid offices are bracing for shifts in monthly payment burdens that may push borrowers closer to delinquency or default—particularly given that millions of borrowers were already in or near default. The rollout also includes adjustments to interest-rate reductions tied to autopay. The policy package is expected to raise payment costs for many borrowers and complicate counseling timelines at the start of the new academic year, forcing institutions to update communications and advising workflows immediately.