New Federal Loan Limits for Students
Update: 2025-12-05
Description
Big changes are coming to federal student loans, specifically impacting Parent PLUS and graduate student loans. The One Big, Beautiful Bill Act will set stricter borrowing limits, but only for new borrowers starting in the fall of 2026. Existing borrowers and those starting before the cutoff will continue under existing rules. Parent PLUS borrowers will face a yearly limit of $20,000 per child, with a total cap of $65,000. Graduate students will no longer be able to take out PLUS loans, and unsubsidized loan limits are changing. Plan ahead to navigate your funding options.
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