Urgent: Trump Admin’s New Degree Rules Impact Student Loans

UPDATE: The Department of Education has just announced significant changes to student loan reimbursements, impacting many degree programs across the country. Under President Donald Trump’s One Big Beautiful Bill, degrees classified as “professional” will now determine financial aid levels, raising urgent concerns among students and educators alike.

This new directive, set to take effect in July 2026, means that students pursuing degrees in high-demand fields such as nursing, physical therapy, and social work may face reduced financial support. As tuition costs continue to skyrocket—doubling over the last 30 years—students could find it increasingly difficult to afford higher education without adequate reimbursement.

The Repayment Assistance Plan (RAP) will replace existing programs, eliminating the Grad PLUS loans that have previously aided graduate and professional students. Instead, new borrowing limits will be set at $20,500 annually for graduate students and $50,000 for professional students. This could severely hinder students from pursuing careers in essential fields, particularly when many of these occupations are already experiencing workforce shortages.

Critics are alarmed by the omission of numerous degrees from the professional classification. Notably absent are nursing, physician assistants, and physical therapists, prompting fierce backlash from industry leaders. The American Nurses Association (ANA) has initiated a petition urging the Department of Education to reclassify nursing as a professional degree—arguing that this exclusion threatens the future of healthcare in the U.S.

In a statement, the American Association of Colleges of Nursing (AACN) expressed deep concern, emphasizing that excluding nursing contradicts the acknowledgment that professional programs lead to licensure and direct practice. “This exclusion disregards decades of progress toward parity across health professions,” they stated.

Public figures are also weighing in. Kentucky Senate candidate Amy McGrath criticized the changes, questioning how a theologian could be deemed more professional than a nurse practitioner. “Limiting who can pursue advanced degrees in critical professions will only deepen the workforce shortages we’re already facing,” she remarked on social media.

The implications of these changes are profound. With undergraduate tuition at public universities rising by 30 percent in the past decade, many students may be deterred from entering critical professions due to financial barriers. As costs continue to climb—some institutions projecting 4 percent hikes for the upcoming academic year—students in non-professional fields may struggle to cover their expenses.

As this situation develops, students and educators are urged to stay informed and advocate for the inclusion of all necessary degrees in the professional category. The ramifications of these changes could reshape the landscape of higher education and essential workforce sectors for years to come.

Stay tuned for more updates on this urgent matter as it unfolds.