How Much Can I Borrow for College?
"The cost of attending college continues to rise, and for many students, paying for their education requires borrowing. A variety of federal student loans are available through the U.S. Department of Education, while private loans are offered by banks and other lenders. Each loan comes with a different set of parameters and qualifications that dictate whether and how much students can borrow," U.S. News & World Report writes.
... "The reason federal loans are much more popular is that they are easier to qualify for and have benefits. "Federal student loans often have lower interest rates and offer more borrower protections as compared to private student loans," says Sarah Austin, policy analyst at the National Association of Student Financial Aid Administrators."
... "What's changing this academic year, however, is that there are new federal loan limits for parent borrowers. Beginning in the 2026-2027 academic year, Parent PLUS loans will be capped at $20,000 per year, with a lifetime limit of $65,000 per dependent student. Previously, parents were able to borrow up to the cost of attendance."
"With new annual and aggregate borrowing limits on Parent PLUS Loans, students and parents may no longer be able to rely fully on federal funding to cover a student's cost of attendance, says Austin. 'This will likely lead students and families to explore private loan options,' she says, 'which typically have more stringent credit requirements meaning not all borrowers will qualify, even with a cosigner.'"
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Publication Date: 4/30/2026
