AB 681 – Increases the California DREAM Loan Program Limits

Existing law authorizes a student attending a participating campus of the University of California (UC) or California State University (CSU) to borrow up to $4,000 in a single academic year and $40,000 in the aggregate. Undergraduates are limited to $20,000, and graduates to another $20,000.

AB 681 changes the borrowing limits. The bill provides that undergraduates can still borrow up to $4,000 yearly, but graduate students can borrow up to $20,500 annually. The total borrowing cap for graduate students rises to $118,500, though the undergraduate cap remains $20,000, allowing a combined limit of $138,500 for students who receive loans in both programs.

(AB 681 amends Section 70034 of the Education Code.)