The Credit for Prior Learning Act amends federal higher education law to help students get college credit for knowledge and skills they've already acquired outside traditional classroom settings. The bill allows students to include up to $2,000 per year in financial aid calculations to cover the costs of assessment tests that evaluate prior learning, with this amount adjusted for inflation after 2025-2026. To qualify, prior learning assessments must evaluate actual knowledge and skills rather than just experience, be based on standards set by subject matter experts, and result in direct college credit without requiring additional coursework. The legislation also requires colleges to establish clear standards for assessing prior learning and directs accrediting agencies to verify that institutions maintain sufficient standards during their review processes. Additionally, colleges must publicly report how many students receive prior learning credits and how many credits are awarded, broken down by student race, income level, and whether they receive federal Pell Grants. The law takes effect July 1, 2027.