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Judge blocks new professional student loan restrictions

The ruling preserves higher borrowing limits for more programs while litigation continues over the Education Department’s narrower definition, which plaintiffs said excluded nursing and education.

  • A federal judge blocked the Trump administration's new rule lowering federal student loan limits for graduate degrees in nursing and healthcare fields.
  • Eight trade organizations sued to stop the rule from taking effect on July 1, and the judge sided with them.
  • Judge Beryl Howell ruled that the Education Department lacked authority to narrow the definition of 'professional degree,' violating the Administrative Procedure Act.
  • The judge did not prevent enforcement of the new loan caps, stating she could not override Congress's elimination of uncapped borrowing.
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Forbes broke the news in United States on Thursday, June 25, 2026.
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