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New Student Loan Overhaul Set for 2026 Rollout

11/27/2025

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Story summary
  • The U.S. Department of Education will implement changes to student loans under One Big, Beautiful Bill Act (OBBBA), effective July 1, 2026.
  • Parent PLUS loans are capped at $20,000 annually and $65,000 total per student; the Graduate PLUS program is eliminated.
  • Borrowers must consolidate Parent PLUS loans by the deadline to keep income-driven repayment plans.
  • The Repayment Assistance Plan (RAP) will offer affordable payments but require a minimum monthly payment.