What is the Schedule of Reductions?

The Schedule of Reductions, or SOR, is a federal requirement that reduces a student’s annual Federal Direct Loan eligibility when the student is enrolled less than full time.

Before July 1, 2026, students enrolled at least half time could generally receive their full annual Federal Direct Loan eligibility. Under the new law, students enrolled less than full time may qualify for a reduced loan amount based on their number of eligible credit hours.

What You Need to Know

• If you enroll less than full time, meaning fewer than 12 credit hours that apply toward your program of study, your federal loan eligibility will be reduced proportionally.
• Changes to your enrollment, such as adding, dropping or withdrawing from classes, may result in a recalculation of your loan amount.
• You must be enrolled in at least six eligible credit hours to receive a Direct Loan disbursement. Financial aid, including loan funds, can be applied only to courses required for your program.

What AACC Will Do

• Your 2026-2027 financial aid offer will be offered and processed assuming full-time enrollment.
• In MyAACC, you will see your approved loan request amount adjusted to match your registered eligible credits for the term on the first day of classes.
• Before your loan is disbursed, the Financial Aid Office will review your actual enrollment. If you are enrolled less than full time, your loan amount will be adjusted according to the federal Schedule of Reductions.
• Your loan amount may be recalculated more than once during the term if your enrollment changes.

What You Can Do

• Review your financial aid offer carefully. Borrow only what you need to cover your school-related expenses.
• Loan funds will not be disbursed until after your courses begin, the applicable drop deadlines have passed, you have completed the Master Promissory Note and Loan Entrance Counseling, and your attendance has been confirmed.
• Loan funds will be applied to your student account to pay eligible tuition, fees and bookstore charges, if applicable.
• If you know you will not be enrolled full time, be prepared for your loan amount to be reduced.
• Taking additional classes will increase your term charges. Financial aid can cover only courses required for your program of study.
• We encourage all students to complete the AACC Scholarship Application.
• Set yourself up for success. Meet with your professors and seek additional assistance when needed to help ensure you pass your classes.
• Monitor MyAACC regularly for account and billing information.
• If you receive a refund but have dropped or withdrawn from a class, we strongly recommend that you not spend those funds until your account has been reviewed and settled.
• Contact AACC’s Financial Aid Office and Academic Advising before withdrawing from a class to learn how it may affect your student loans, future enrollment and Satisfactory Academic Progress.