New Graduate/Professional Loan Caps, Parent PLUS Squeeze and Disbursement Disruption

The OBBB Act sets $50,000 annual and $200,000 aggregate federal-loan limits for graduate and professional students as Grad PLUS is phased out, while Parent PLUS is capped at $20,000 annually and $65,000 lifetime. Rushed implementation and enrollment-based disbursement changes are delaying aid, including a documented $6,700 case, threatening rent, car payments, and enrollment. Existing Parent PLUS borrowers face a July 1 consolidation cutoff and fewer affordable repayment choices; RAP details remain incomplete.