The One Big Beautiful Bill Act was signed into law on July 4, 2025. Effective July 1, 2026 there will be changes to the federal student loan program, repayment plans, annual loan limits and more. While the U.S. Department of Education has not yet released detailed implementation guidelines we are continuously monitoring policy updates, regulatory guidance, and FAQs, and will continue to update this page as information becomes available.
As of December 2025, here is what we know:
Graduate PLUS Loans
- This program is being phased out beginning July 1, 2026, and the program will not be available for new borrowers. A new borrower is a student who begins their course of study AFTER July 1, 2026.
- For those who have borrowed federal loans for their current graduate/professional program, you may have continued eligibility to borrow a Graduate PLUS Loan for the lesser of the next three academic years or until you complete your current course of study.
New Loan Limits for Professional Students
- All new borrowers as of July 1, 2026 who are pursuing a professional degree may borrow up to $50,000 annually an as unsubsidized loan. As of December 2025, both a Doctor of Medicine and a Doctor of Dental Medicine are considered professional degrees.
- New borrowers pursuing a professional degree will also have a new lifetime borrowing limit of $200,000.
- Students currently pursuing a professional degree and who borrowed federal direct student loans for that degree prior to June 30, 2026 will retain their annual and lifetime borrowing limits.
Loan Reduction for Part-Time Enrollment
- Students who enroll in credits deemed less than the full-time minimum (9 credits for both medical and dental students) may have their loans prorated. Loans are no longer tied to enrollment status but now must be prorated based on the number of credits enrolled for.
- Student who reduce their enrollment below the full-time minimum AFTER funds have disbursed may be required to return funds and/or see future disbursements reduced.
Our office anticipates receiving more detailed information in Spring 2026 and will update this page once it is made available