Federal Student Loan Repayment Plans and Borrowing Limits Undergo Major Changes

Significant changes to the federal student loan system are taking effect this week, including the end of the Biden-era SAVE plan and another graduate borrowing program. New repayment options, such as the Repayment Assistance Plan (RAP) and the Tiered Standard plan, are being introduced. Additionally, new lifetime borrowing limits of $257,500 across all federal loan types will be imposed on graduate students and parents.