Frequently Asked Questions (FAQ)
For reference in responses provided below, students classified as ‘Undergraduate’ are typically pursuing a bachelor’s Degree; ‘Graduate’ students are typically pursuing a master’s degree or a doctoral degree; and ‘Professional’ students are typically pursuing a degree (such as the M.D., J.D., and D.D.S., among others) that signifies readiness to practice in a specific profession.
Most all of the provisions go into effect beginning with the 2026-27 school year (i.e., as of 07/01/2026), although some of the loan repayment provisions have an earlier effective date.
- Annual Borrowing Limits (Subsidized and Unsubsidized loans):
- Undergraduate Students: No Change (Subsidized and Unsubsidized)
- Graduate Students: No Change (Unsubsidized)
- Professional Students: Increased annual limit (Unsubsidized)
- Aggregate Borrowing Limits:
- Undergraduate Students: No Change (Subsidized and Unsubsidized)
- Graduate Students: Reduced aggregate limit, but will exclude from aggregate any amounts borrowed at the undergraduate level
- Professional Students: Increased aggregate limit, and will exclude from aggregate any amounts borrowed at the undergraduate level
- Lifetime Borrowing Limit:
- All students: New lifetime borrowing limit across all federal student loan programs (Subsidized, Unsubsidized, and GradPLUS) but excludes ParentPLUS borrowing that occurred on the student’s behalf.
- ParentPLUS loan limits (loan program for parent(s) of dependent undergraduate students)
- New annual cap of $20,000 per dependent student (combined across all parents borrowing that year for the dependent student; previously no limit other than Title IV Cost of Attendance minus all other aid offered/received)
- New aggregate limit of $65,000 per dependent student (combined across all parents borrowing ParentPLUS for the student); previously no aggregate limit
- GradPLUS loan program eliminated
- See separate entry below for more information.
- The loss of GradPLUS is significant. However, for students in Professional degree programs, the Reconciliation Bill expanded annual Unsubsidized loan borrowing limits from $20,500 to $50,000—an additional $29,500 per year.
- Graduate students’ annual Unsubsidized loan borrowing limits remain the same at $20,500.
- For graduate and professional students who need additional funding options beyond the Unsubsidized federal student loan program, the current and immediate primary option is the private student loan program(s), as well as considering applying for available/eligible departmental and/or external scholarships. We continue to explore additional options. The U also participates in a payment plan that allows a student to make multiple payments of their balance due across a fixed period of time.
*Only graduate and professional students are eligible for GradPLUS; undergraduates are ineligible
Students who need additional funding options beyond the federal student loan programs, the current and immediate primary option is the private student loan program(s), as well as considering applying for available/eligible departmental and/or external scholarships. We continue to explore additional options. The U also participates in a payment plan that allows a student to make multiple payments of their balance due across a fixed period.
Please see this chart comparing current rules (if any) compared to the upcoming changes. Keep in mind that some details are still emerging—including the U.S. Department of Education’s intent to publish new regulations around these changes in the law. We will update the chart as new guidance or rules emerge.