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Proposed Grad PLUS loan changes: What graduate students should know

Prospective graduate students may have heard discussions about upcoming changes to federal student loans, including the proposed elimination of Graduate PLUS loans for new borrowers beginning July 1, 2026.

If you’re considering a graduate degree, it’s understandable to have questions about what these changes could mean for your educational plans. The good news is that many Boise State Online graduate programs may be less affected than higher-cost programs at other universities.

What is changing?

Under current federal loan programs, graduate students can borrow up to their school’s full cost of attendance through a combination of Direct Unsubsidized Loans and Grad PLUS loans.

Under the proposed changes, new graduate students would no longer have access to Grad PLUS loans beginning July 1, 2026. Most graduate students would instead be limited to:

  • $20,500 in federal unsubsidized loans per year
  • $100,000 in total federal borrowing for graduate education

Students who borrowed Grad PLUS loans before July 1, 2026, and remain in the same academic program may be eligible for continued access through a grandfathering provision.

Because federal legislation can change, students should continue monitoring updates from the U.S. Department of Education and Boise State’s financial aid office.

Where could students feel the impact?

The biggest challenge for some students may not be tuition. Historically, some graduate students have used Grad PLUS loans to help cover:

  • Living expenses
  • Child care
  • Housing costs
  • Reduced work hours while enrolled
  • Books and educational supplies

Students who planned to rely on borrowed funds beyond tuition and fees may need to explore additional funding options if the proposed changes take effect.

Boise State’s affordability matters

As graduate education costs continue to rise nationally, affordability becomes even more important.

Many online master’s programs across the country cost $40,000 to $60,000 or more. Some highly ranked programs exceed $70,000 or even $100,000 in total tuition.

Boise State’s competitive tuition rates and scholarship opportunities can help students keep borrowing needs lower while earning a degree from a regionally accredited public university.

For working professionals, that can mean greater flexibility and fewer financial barriers to advancing their education.

Options students can consider

Students concerned about financing graduate school may want to explore:

Many Boise State Online students continue working while earning their degrees, allowing them to balance educational goals with financial responsibilities.

Don’t let uncertainty stop your plans

While federal loan policies may change, graduate education remains an investment in your future.

If you’re considering a graduate degree, now is a good time to speak with a Boise State student success coach or financial aid advisor about your individual situation. They can help you understand program costs, available funding options and what the proposed changes may mean for your educational goals.

Every student’s financial situation is different, and there may be more options available than you realize.

Learn more about Boise State Online

Boise State Online offers 100+ online programs and 1000+ unique online courses to help you make your educational dreams a reality — and we’re here to support you every step of the way. Whether you’re exploring if an online program is right for you or need help transferring credits, connecting with a student success coach is the perfect first step. 

Ready to learn more? Attend one of our online information sessions or contact a student success coach today.

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