Â鶹¹û¶³

Federal Financial Aid Updates

Updates Related to Graduate Plus Loans

These changes take effect July 1, 2026, as a result of the recently enacted Federal H.R. 1 (the Bipartisan Student Loan Reform Act). They impact new graduate students enrolling in Fall 2026 and outline updates to loan programs, limits and repayment plans.

Key Updates

  • The Grad Plus Loan program will be discontinued for new students.
  • For current students with Federal Direct Loans (Unsubsidized or Grad PLUS) from before July 1, 2026, you can continue using them for either:
    • Up to three more academic years, or
    • Until you complete your current program, whichever comes first.

New Federal Loans Limits (Starting July 1, 2026)

Non-Professional Degree students:

  • Up to $20,500 per year in Direct Unsubsidized Loans.
  • Up to $100,000 in total graduate-only federal borrowing.

Professional Degree students:

  • Up to $50,000 per year in Direct Unsubsidized Loans.
  • Up to $200,000 in total professional-level federal borrowing.

Overall Lifetime Borrowing Limits: 

  • Up to $257,500 in federal student loans across all levels of study (undergraduate + graduate + professional), not counting Parent PLUS borrowed on your behalf.

Repayment Plans and Options:

  • New loans after July 1, 2026: Can be repaid using two plans — a redesigned Standard Repayment Plan or a new income-based repayment plan called Repayment Assistance Plan (RAP). New borrowers are assigned the standard plan unless they opt for RAP. New borrowers will be assigned the standard repayment plan, unless they opt for the RAP.
  • Current borrowers with no new loans after July 1, 2026: Eligible for Standard, Graduated, Extended, or Income-Based Repayment (IBR) plans; may also opt into RAP.
  • Current borrowers in ICR, PAYE, or SAVE plans: Must transition to a different plan (Current IBR, Standard, or RAP) by July 1, 2028. If no selection is made, borrowers will automatically be moved into RAP.

These changes will take effect on July 1, 2026 and will only impact future borrowing, and not any federal aid you might have received for the 2025–2026 academic year.

The new loan limits and repayment structure begin with loans first disbursed on or after July 1, 2026. If you are currently enrolled and receiving federal aid, you will continue under your existing aid offer for this academic year.

Professional vs. Non-Professional Designation

The U.S. Department of Education defines a Professional Degree as any degree providing instruction in the following subject areas and, as such, qualifying for higher loan limits:

  • Medicine (M.D.)
  • Pharmacy (Pharm.D.)
  • Dentistry (D.D.S. or D.M.D.)
  • Osteopathic Medicine (D.O.)
  • Clinical Psychology (Psy.D. or Ph.D.)
  • Veterinary Medicine (D.V.M.)
  • Chiropractic (D.C. or D.C.M.)
  • Law (LL.B. or J.D.)
  • Optometry (O.D.)
  • Podiatry (D.P.M., D.P., or Pod.D.)
  • Theology (M.Div. or M.H.L.)
  • Physical Therapy (DPT)*

* Designation is subject to change pending a final court decision. 

All other eligible master’s and doctoral programs are defined as “Non-Professional programs for loan-limit purposes, even though they may lead to state licensure (e.g. PSY MFT, EDU CA Credential).

Important: The designation of a degree as “Professional” or “Non-Professional” does not reflect its value. This distinction is solely for determining which programs qualify for higher loan limits. Non-Professional programs remain vital to education and community needs.

Alternative Private Student Loans

Mount Saint Â鶹¹û¶³’s University, Los Angeles partners with Elm Select to help students compare private student loan options for their degree program. Elm Select is a free online tool that allows you to compare participating lenders, interest rates and loan terms to find an option that fits your needs. Visit  to compare private student loan options available to Â鶹¹û¶³ students.

Before You Apply for a Private Student Loan 

Students should exhaust their federal student loan eligibility before borrowing a private or alternative student loan. Federal student loans may offer benefits and protections that are not available with private loans. 

Eligibility for a private student loan is generally based on the credit history of the student and, when required, a cosigner. Private student loans may have either fixed or variable interest rates, depending on the lender.

How to Apply for a Private Student Loan 

  1. Compare lenders. Use Elm Select or another lender or credit union of your choice to review private student loan options, rates and terms. 
  2. Apply directly with the lender. Complete the lender's online application and provide any requested information. 
  3. Allow time for processing. Your lender typically takes approximately five business days to contact the Â鶹¹û¶³ Financial Aid Office. 
  4. Email the Â鶹¹û¶³ Loan Department at financialaidloans@msmu.edu to verify the amount you may borrow for the academic year, including fall, spring and/or summer terms and to verify that you, the student, are borrowing this loan. 

How Much Can I Borrow? 

Before applying, contact the Â鶹¹û¶³ Loan Department to verify the amount you may borrow for the academic year. Your eligibility and approved loan amount may depend on your financial aid eligibility, cost of attendance and the lender's requirements.