These FAQs provide a basic overview of the federal Schedule of Reductions (SOR) requirements and guidance for assisting students with questions about enrollment changes and federal student loans.
1. What is the Schedule of Reductions (SOR), and which types of financial aid are affected?
Beginning with the 2026–2027 award year, federal guidelines require certain federal student loans to be reduced based on a student's eligible enrollment level. Students enrolled below full-time may qualify for a smaller loan amount.
SOR applies to Federal Direct Subsidized and Unsubsidized Loans and Direct PLUS Loans for parents and graduate students. Pell Grants and state and institutional grants are not subject to this specific loan reduction rule but may have other enrollment requirements.
2. How does enrollment affect federal loan eligibility?
Federal loan eligibility is based on the student's eligible Course Plan of Study (CPOS) enrollment, using the following full-time credit-hour requirements at Kent State:
- Undergraduate students: 12 or more eligible credit hours
- Graduate students: 9 or more eligible credit hours
Students enrolled below full-time may receive a reduced loan amount. Students must maintain at least half-time enrollment to remain eligible for federal student loans, based on a minimum of 6 eligible credit hours for undergraduates and 4 eligible credit hours for graduate students.
3. Why might a student have a Schedule of Reductions (SOR) hold?
An SOR hold indicates that the student's federal loan eligibility requires review under the new federal loan requirements. The review may be needed to determine the student's eligible loan amount based on their enrollment and applicable federal guidelines.
Processing may take time, and the hold does not necessarily mean the student is ineligible for loans. Students should contact the FBE Center for questions about their hold or review status.
4. How can adding or dropping a course affect a student's loans?
Schedule changes may affect federal loan eligibility, disbursement amounts, and the student's account balance. Dropping a course or withdrawing may reduce loan eligibility and leave the student with a balance due. Adding a course does not necessarily restore previously reduced loan eligibility. Additional loan eligibility depends on the student's circumstances, remaining annual loan eligibility, and applicable federal requirements.
Encourage students to contact the FBE Center before changing their schedule to understand the potential financial impact. Students should also consult their academic advisor about degree requirements and academic progress.
5. What happens if a loan reduction leaves a balance on the student's account?
Students are responsible for outstanding university charges. If a loan reduction occurs after funds have been disbursed or refunded, the student may need to repay funds or make arrangements to pay the remaining balance.
Students should contact the FBE Center for guidance on their financial aid and account balance. Other funding options may be available, depending on their circumstances and eligibility.
6. Where should faculty and staff refer students for assistance?
- FBE Center: Financial aid eligibility, SOR holds and reviews, loan reductions, disbursements, and initial guidance on outstanding account balances.
- Academic advisor: Course selection, degree requirements, and the academic impact of schedule changes.
Key Reminder: Encourage students to contact the FBE Center before changing their course schedule. A schedule change can affect both financial aid eligibility and the amount they owe to Kent State.
