Explained: New limits on federal student loans are steering many borrowers toward private lenders

New federal student loan limits took effect this fall, including caps on loans for specific programs and limits on parent borrowing.

Graduate PLUS

A former federal loan program that let graduate students borrow up to the full cost of attendance.

Cosigner

A second person, often a parent, who agrees to be responsible for repaying a private loan alongside the borrower.

Loan originations

The total value of new loans issued by a lender in a given period.

Professional program designation

A federal classification for certain graduate programs that qualifies them for higher loan limits.

Public service loan forgiveness

A federal benefit that can cancel remaining student loan debt after 10 years of qualifying public service work.