Federal Changes – Graduate PLUS Loan Changes

The One Big Beautiful Bill Act [PDF] was signed into law on July 4, 2025.

This legislation will impact Federal Student Aid programs, including Federal Student Loan repayment plans, Federal Student Loan limits, Federal Parent PLUS Loans, and Federal Graduate PLUS Loans. These changes will begin on July 1, 2026.

Students beginning graduate enrollment at Syracuse University on or after July 1, 2026:

The bill has removed the Federal Direct Graduate PLUS Loan for students beginning a new graduate or professional program on or after July 1, 2026.

New Graduate and Professional Student Federal Loan Limits

Starting July 1, 2026

Limited Exception/Legacy Provision: Students are not subject to the new loan limits (for up to three academic years or the remainder of their expected time to credential, whichever is less) if they remain continuously enrolled in the same program of study at the same institution as they were enrolled as of June 30, 2026 and for whom a Direct Loan was made for that program of study prior to July 1, 2026.

Legacy Provisions:

Legacy provisions (“grandfather provisions” or “grandfathering”) are in place for some existing student and parent borrowers.

  • Graduate PLUS Loan Borrowers – Legacy Eligibility Based on Academic Program and Prior Borrowing:
    • To qualify for the legacy provision, a graduate or professional student must meet all of the following criteria:
      • They were enrolled in the same credentialed program*** before July 1, 2026.
      • They had a federal student loan for that specific program disbursed before July 1, 2026. 
      • This legacy provision allows them to continue borrowing from the program for:
        • Three academic years; or
        • The remainder of their current program***;
        • whichever is less. 
      • If the student ceases enrollment or withdraws from the university and does not re-enroll in their program of study before June 30, 2026, the legacy status no longer applies, and the new limits take effect immediately. (Please see glossary definition of “enrollment.”)