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Major Student Loan Limits Set To Take Effect, With Big Implications For Borrowing
The proposal limits federal graduate loan borrowing to $20,500 annually for most fields, reserving $50,000 for a select few, affecting student financing nationwide.
- On Nov. 6, the U.S. Department of Education proposed rules to define graduate loan eligibility tied to the One Big Beautiful Bill, effective July 1, 2026.
- Relying on a decades-old definition, the agency proposes to use the 1965 regulatory definition and four-digit CIP codes while eliminating open-ended Grad PLUS borrowing, Ellen Keast said this aligns with historical precedent and aims to curb tuition inflation.
- Students in designated professional-degree programs could borrow up to $50,000 annually with a $200,000 lifetime cap, while all other graduate students face a $20,500 annual cap and $100,000 lifetime limit.
- Students in excluded high-cost programs face private loans or out-of-pocket costs beyond the $20,500 federal cap, while Parent PLUS loans would be capped and Grad PLUS eliminated, limiting family borrowing.
- The Department of Education expects final regulations by spring 2026 with changes effective July 1, 2026, affecting students entering graduate school in late 2026 and drawing opposition from the University of San Diego and American Council on Education.
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‘Crying Wolf’ Or Crisis? Proposed Loan Caps Could Leave Nursing, Master’s Students Footing The Bill
A viral controversy circulating on social media regarding the status of nursing degrees has exposed a significant, looming shift in how the federal government finances graduate education. While rumors claim the Department of Education has stripped specific programs of their academic “professional” standing, the reality is a bureaucratic, yet financially consequential, proposal regarding borrowing limits. […] ‘Crying Wolf’ Or Crisis? Proposed Loa…
·Tampa, United States
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Coverage Details
Total News Sources14
Leaning Left2Leaning Right1Center10Last UpdatedBias Distribution77% Center
Bias Distribution
- 77% of the sources are Center
77% Center
15%
C 77%
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