Student Loan Caps and New Repayment Rules | Annapolis News

Student loan rules are getting a major overhaul this week, with new borrowing caps and repayment changes designed to curb debt and push colleges to rethink tuition. Graduate students now face a $20,500 annual cap with a $100,000 lifetime limit, while professional students get up to $50,000 annually and $200,000 total. Parent borrowers see caps too—$20,000 per child per year. Critics warn these limits could hurt affordability, especially for pricey programs, and push families toward riskier private loans. The Education Department says it’s cleaning up a broken system, but some fear it could make college less accessible. For new or consolidated loans after Wednesday, only two repayment plans remain: the Tiered Standard Plan and the new income-adjusted Repayment Assistance Plan, which cancels balances after 30 years. To boost on-time payments, the autopay interest discount jumps to 1%, aiming to lure back borrowers who’ve fallen off track. Support the show:Get a discount at https://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/b85e48ad2dbd0f87