Student Aid Readjustment Act

Student Aid Readjustment Act - Amends the Higher Education Act of 1965 to increase the maximum limits on the amount of individual Pell Grants.

Restricts the period of eligibility for Pell Grants to the full-time equivalent of the period required for the completion of the first two academic years of the undergraduate baccalaureate course of study.

Makes Pell Grants an entitlement program, not subject to reduction. Sets forth an entitlement-based allocation system under which the Secretary of Education (the Secretary) shall reimburse institutions of higher education which submit vouchers for awards to eligible students in the full amount of the Pell Grants to which they are entitled.

Eliminates the 60 percent of cost-of-attendance limitation on Pell Grants.

Directs the Secretary of Education (the Secretary) to keep the congressional appropriations committees informed about the amount of funds required to satisfy fully all entitlements to Pell Grants. Prohibits the Secretary from reducing such a grant except as expressly provided by and in accordance with specified provisions relating to insufficient appropriations.

Eliminates loan eligibility for the first two academic years of undergraduate study and increases the maximum limits on loan amounts for the succeeding years under the federally-insured student loan (FISL), guaranteed student loan (GSL), supplemental student loan, and parent loan (PLUS) programs.

Adjusts the limit on national direct student loans (NDSL) to a specified amount in the case of any student other than a graduate or professional one, except that the amount loaned for any one academic year may not exceed half that amount.