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Judge blocks new professional student loan restrictions

The ruling preserves higher borrowing caps for some graduate programs while the case continues, but leaves the underlying loan limits in place.

  • 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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ReutersReuters
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US judge blocks Trump administration's new student loan restrictions

·New York, United States
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Business Insider broke the news in New York, United States on Thursday, June 25, 2026.
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