The maximum amount of federal direct student loans that an undergraduate can borrow is $57,500. Beginning in 2026, new federal loan limitations will apply to graduate students and parents. To a large extent, the cost of attendance is the ceiling on private loans.
Several factors, including the sort of degree you’re pursuing, the cost of your school, your dependent status, and the year you’re in college, determine the maximum amount of student loans that you can borrow.
Regarding the academic year of 2025–26:
The following are the limits for federal direct loans:• Undergraduates: $12,500 per year, up to a total of $57,500; • Graduates: $20,500 per year, up to $138,500 (including any undergraduate borrowing); • Parents and graduate students with federal PLUS loans can borrow up to the official total cost of attendance, which includes tuition, fees, books and supplies, room and board, transportation, and personal expenses.
The 2025 budget reconciliation measure signed into law by President Trump would cut the borrowing limits for some borrowers beginning with the 2026–27 academic year. Borrowers of parent PLUS loans and graduate students will be the most affected by the changes.
Limits on private student loans are lender-specific. You can borrow up to the total cost of attendance at your school, minus any other financial aid.
Maximum amounts for federal student loans in 2025 and 2026
Borrowing limits vary across the three primary categories of federal student loans:
The first category consists of direct loans that come with subsidies. Depending on the school year, the borrowing limit can reach up to $5,500 annually. You can only apply if you are an undergraduate student that can prove that you are financially struggling. While a student is enrolled in school and throughout the deferment period, no interest is accrued.
Unsubsidized loans are provided directly to students. These loans can amount to a maximum of $12,500 annually, depending on the student’s dependent status and academic year. Any undergraduate, graduate, or professional student in the United States is eligible, regardless of their ability to pay. While the student is enrolled in school and during the deferment term, interest is accrued.
Parent or graduate PLUS loans. Until the attendance fee is paid. Graduate and professional students, as well as parents who borrow on their behalf for undergraduate children, have access to this. Interest accrues regardless of a student’s enrollment status.
The 2026–27 federal student loan program borrowing limitations will undergo modifications.
Student loan borrowing limitations will be changed in a few important ways by Trump’s latest budget bill:
- The Graduate PLUS loan program is coming to a close. Direct loans will be the exclusive option for borrowers beginning a master’s degree program on or after July 1, 2026. Until the attendance fee is paid, these will not be available. Alternatively, their maximum can be $100,000 or $200,000, based on the sort of degree.
- A Parent PLUS loan cannot cover the amount that a parent can borrow up to the cost of attendance. Federal direct loans, which include those for undergraduate and graduate education, have a greater lifetime maximum and will instead be capped at $20,000 per year, or $65,000 overall, per child.
The maximum amounts that can be borrowed for undergraduates through federal direct loans, whether they are subsidized or not, will remain unchanged.
Permits for the use of private student loans
Lend amounts for private student loans can differ from one lender to another. Most lenders will only lend you the total cost of attendance at your school, minus any other financial aid. Other lenders impose aggregate limits on undergraduate and graduate loans.
For university, how much money would be ideal to take out as a loan?
You shouldn’t take out a loan if you can’t afford to pay for it in full. To ensure college is affordable, calculate how much you need to borrow based on your expected future income and avoid borrowing more.
A student’s total debt will grow in proportion to the amount of additional loans taken out for each academic year. Make sure you keep track of your borrowing amounts and stick to your budget if you want to handle this debt.
