Starting July 1, 2026, Grad PLUS Loans will no longer be available to new borrowers. These students will primarily rely on Direct Unsubsidized Loans, which include borrowing limits. Here’s how those limits work.
Last Updated: February 2026.
Beginning July 1, 2026, new borrowers will primarily rely on Direct Unsubsidized Loans.
Federal borrowing limits are defined by law and subject to change. These limits apply regardless of your school’s total cost of attendance. For many graduate programs, tuition and living expenses may exceed federal caps—making early planning especially important. If you want a full overview of the federal changes, start here:
Grad PLUS Loans Are Ending in 2026: What You Need to KnowIllustrative examples (not a rate quote)
| Annual cost of attendance | $60,000 |
|---|---|
| Direct unsubsidized limit | $20,500 |
| Estimated gap | $39,500 |
| Annual cost of attendance | $75,000 |
|---|---|
| Direct unsubsidized limit | $50,000 |
| Estimated gap | $25,000 |
Without Grad PLUS Loans, these gaps may be addressed through:
A simple way to estimate your potential gap:
To see what that could mean for your monthly payment, use our Student Loan Payment Calculator .
If Direct Unsubsidized limits fall short, some students explore private graduate loans to help bridge remaining costs.
Private graduate loans, including Nelnet Bank Graduate Student Loans, may provide features such as:
Explore your options here:
Nelnet Bank Graduate Student Loans
Graduate students: $20,500 per year; $100,000 lifetime
Professional students: $50,000 per year; $200,000 lifetime
Combined graduate + professional: $200,000 cap
Overall federal lifetime limit: $257,500
For borrowers after July 1, 2026, federal loans may not cover the full cost of attendance.
Yes. Federal loans borrowed for undergraduate study count toward the graduate lifetime borrowing cap.
You may explore scholarships, savings, school-based aid, or a private loan, such as a Nelnet Bank Graduate Student Loan.
No. Private loans are not subject to federal aggregate caps, but they are credit-based and subject to lender approval and any loan caps that the private lender may have.
Graduate school is a big investment. Clear numbers help you plan smarter.
If federal borrowing limits leave a gap, reviewing options early can help you move forward with confidence.
Clear information today supports better decisions tomorrow.
Example scenarios are illustrative only and do not reflect current rate offers.
Rates and terms vary based on credit profile and market conditions.
Private loans do not include federal protections.
Loan products are subject to credit approval.
$20,500 per year