FOR IMMEDIATE RELEASE
Contact: media@edtrust.org

June 23, 2026

College Students Face New Hurdles as They Pursue Graduate and Professional Degrees
EdTrust brief highlights how new borrowing caps harm Black, Latino, Native, and low-income students

WASHINGTON —July 1st not only marks the end of the Grad PLUS loan, but it’s also when new borrowing caps enacted under the One Big Beautiful Bill Act (OBBBA) will go into effect — without lowering the cost of graduate school or providing replacement aid. EdTrust analysis highlights how changes will disproportionately harm Black, Latino, Native, and low-income students, who are more likely to rely on Grad PLUS and face barriers in the private lending market.

EdTrust’s latest policy brief, New Loan Limits Threaten Graduate Education Access and Affordability warns that eliminating the federal Grad PLUS loan program will make graduate and professional degrees less affordable and could force many students to turn to riskier private loans or forgo advanced education altogether.

The consequences extend beyond students. Graduate and professional degrees are required for many essential careers, including teaching, nursing, counseling, social work, law, and medicine. Limiting access to these degrees threatens the pipeline of diverse talent entering the professions communities rely on most.

“At a time when families are already struggling with rising costs and an affordability crisis, these changes move us in the wrong direction,” said Victoria Jackson, assistant director of higher education policy at EdTrust.” Eliminating Grad PLUS loans without making graduate school more affordable simply shifts students toward riskier private debt and revives barriers that have historically shut too many talented students out of advanced degrees.”

Among the brief’s findings:

• More than 1 in 4 graduate borrowers would exceed the new loan limits.
• Nearly $8 billion in borrowing above the caps could shift into the private market.
• Nearly 40% of Americans may struggle to qualify for private student loans under current underwriting standards.
• Private loans generally offer fewer protections and less flexibility than federal loans.

“These changes don’t lower the cost of graduate school, they privatize the risk,” Jackson added. “Students and communities will pay the price through fewer pathways to economic mobility and a diminished pipeline into high-need professions.”

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About EdTrust

EdTrust is committed to advancing policies and practices to dismantle the racial and economic barriers embedded in the American education system. Through our research and advocacy, EdTrust improves equity in education from preschool through college, engages diverse communities dedicated to education equity and justice, and increases political and public will to build an education system where students will thrive.