Federal Student Loan Program Reforms Effective July 2026

Significant alterations to federal student loan programs are scheduled to commence on July 1, 2026, stemming from recently finalized regulations. These reforms introduce new loan limits for graduate and professional students, eliminate the Graduate PLUS program, and cap Parent PLUS loans. Additionally, future borrowers will have fewer repayment plan choices. Concerns have been raised that these changes could make loans more expensive or harder to access, potentially influencing students' higher education funding decisions.