beginning on or after 6 months after the date of enactment of the Higher Education Reform and Opportunity Act of 2017 , the Secretary may not make loans under this part except as provided under this section. (2) Exception (A) In general Paragraph (1) shall not apply to an individual, or on behalf of an individual, who received a loan under this part for any period of instruction before July 1, 2017. (B) Sunset A loan may not be made to an individual, or on behalf of an individual, who received a loan under this part for any period of instruction before July 1, 2017, under this part, other than as provided under this section, on or after July 1, 2019. (b) Federal Direct simplification loans The Secretary shall make loans to borrowers under this section in accordance with the following: (1) The applicable rate of interest on a loan made under this section shall, for loans disbursed during any 12-month period beginning on July 1 and ending on June 30, be determined on the preceding June 1 and be equal to— (A) a rate equal to the high yield of the 10-year Treasury note auctioned at the final auction held prior to such June 1, plus (B) 3.6 percent. (2) Interest on a loan made under this section shall begin to accrue on the date the loan is disbursed. (3) The maximum— (A) annual amount of loans under this section an undergraduate student may borrow in any academic year (as defined in section 481(a)(2)) or its equivalent shall be equal to $7,500