Federal Graduate PLUS Loan Program Discontinued, New Borrowing Caps Introduced

Effective July 1, 2026, the Federal Direct Graduate PLUS Loan program has been eliminated for new students, replaced by new federal borrowing limits. Standard graduate programs now face annual caps of $20,500 (up to $100,000 aggregate), while professional programs are capped at $50,000 annually (up to $200,000 aggregate). These changes, enacted by the One Big Beautiful Bill Act, significantly alter how graduate students will finance their education and could impact workforce recruitment across various fields.