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New Limits on Federal Student Loans Are Steering Many Borrowers Toward Private Lenders
Graduate and professional students are taking on private debt as federal caps limit borrowing, with some schools and lenders expanding aid options.
- New federal loan caps implemented by President Donald Trump have pushed graduate borrowers toward private lenders to cover costs exceeding the new limits.
- Trump's "Big Beautiful Bill" introduced borrowing limits of $200,000 for professional degrees and $100,000 for other graduate programs, with an overall lifetime cap of $257,500.
- Private lender SoFi reported student loan originations hit $2.9 billion in the third quarter in late October, while Sallie Mae noted graduate loans surged 119% year-over-year.
- At South Carolina Student Loan, graduate borrowing increased 400% this year, while at least 40 schools have cut program costs to help students navigate the new landscape.
- Jordan Matsudaira, director of the Postsecondary Education & Economics Research Center at American University, estimates that over half a million borrowers will eventually need an extra $20,000 annually.
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18 Articles
18 Articles
New limits on federal student loans are steering many borrowers toward
NEW YORK (AP) — New limits on federal student loans filled Chloe Frabotta with anxiety as she began studying in New York City to become a physician assistant. The changes that took effect this fall include caps
·Baltimore, United States
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New limits on federal student loans are steering many borrowers toward private lenders – WTOP News
NEW YORK (AP) — New limits on federal student loans filled Chloe Frabotta with anxiety as she began studying in New York City to become a physician assistant. The changes that took effect this fall include caps on loans for particular programs as well as limits on the amount parents can borrow to pay for...
·Chevy Chase, United States
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The Toronto Star+14 Reposted by 14 other sources
New limits on federal student loans are steering many borrowers toward private lenders
NEW YORK (AP) — New limits on federal student loans filled Chloe Frabotta with anxiety as she began studying in New York City to become a physician assistant.
·Toronto, Canada
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Total News Sources18
Leaning Left8Leaning Right1Center9Last UpdatedBias Distribution50% Center
Bias Distribution
- 50% of the sources are Center
50% Center
L 44%
C 50%
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