The Education Department (ED) recently expanded its list of professional programs following a ruling from a federal court, though the change may be temporary. While ED initially only put 11 programs into the professional degree category, the list has expanded to 29 programs, including fields like nursing, physical therapy, and physician assistants. Professional programs are eligible for higher loan limits than general graduate programs, so this reclassification could allow many students to access more funding for school. The change, however, may revert back depending on a final court ruling. Here’s a closer look at where things stand now and what it means for student borrowers.
A Court Order Temporarily Changes “Professional Degree” Definition
Under the One Big Beautiful Bill Act and the Department of Education’s Reimagining and Improving Student Education (RISE) rule, federal student loan limits were set to change for graduate students beginning July 1, 2026. The new framework distinguished between professional degrees, which now have higher loan limits, and graduate programs, which have lower borrowing caps.
On June 23, a federal court temporarily paused parts of the RISE rule that defined which programs qualify as professional degrees. In response, ED issued guidance that temporarily expands the list of programs treated as professional degrees. The list went from 11 to 29 programs, including additions like nursing, physical therapy, physician assistant studies, and occupational therapy.
ED also excluded 25 programs from its list of professional programs. These programs share four-digit Classification of Instructional Programs (CIP) codes with some professional tracks, which represent broader academic categories. However, they have their own six-digit CIP codes, which is a more granular classification system that refers to specific degree programs.
Why Professional Degree Status Matters for Student Loans
As of July 1, students in professional programs and graduate programs have very different borrowing limits for federal Direct unsubsidized loans.
- Students in professional programs can borrow up to $50,000 per year with a lifetime limit of $200,000
- Students in graduate programs can borrow up to $20,000 per year with a lifetime limit of $100,000
- All students have an aggregate borrowing limit of $257,500, including loans borrowed for undergraduate and graduate education.
Before the court order, ED only put 11 programs in the professional degree category, including medical school, dental school, law school, and veterinary school. Many high-cost programs, such as nursing and MBAs, were excluded, causing uncertainty among students about how they’d cover their cost of attendance.
Note: Students who already borrowed before July 1, 2026 can keep borrowing under the old rules for three more years or until their program ends, whichever comes first.
Programs Currently Treated as Professional Degrees
After the court order, ED published a list of 29 programs that fall into the professional degree category and qualify for the higher loan limits. Here’s the full list:
- Veterinary Medicine (D.V.M.)
- Law (L.L.B.; J.D.)
- Divinity/Ministry (M.Div.)
- Rabbinical Studies (M.H.L.)
- Clinical Psychology (Psy.D.)
- Counseling Psychology (Psy.D.)
- School Psychology (Psy.D.)
- Clinical Child Psychology (Psy.D.)
- Health/Medical Psychology (Psy.D.)
- Family Psychology (Psy.D.)
- Forensic Psychology (Psy.D.)
- Clinical, Counseling and Applied Psychology, Other (Psy.D.)
- Chiropractic (D.C.; D.C.M.)
- Audiology/Audiologist (AuD)
- Speech-Language Pathology/Pathologist (SLP)
- Dentistry (D.D.S.; D.M.D.)
- Anesthesiologist Assistant (CAA)
- Physician Associate/Assistant (MSPA; PA)
- Athletic Training/Trainer (MSAT; MAT)
- Medicine (M.D.)
- Osteopathic Medicine (D.O.)
- Podiatry (D.P.M.; D.P.; Pod.D.)
- Optometry (O.D.)
- Pharmacy (Pharm.D.)
- Occupational Therapy/Therapist (OT; MSOT; OTD)
- Physical Therapy/Therapist (PT; DPT)
- Registered Nursing/Registered Nurse (MSN)
- Nurse Anesthetist (DNAP)
- Nursing Practice (DNP)
Programs Excluded from Professional Classification
ED also highlighted 25 programs that will be excluded from the professional degree designation for the duration of the court’s stay. As mentioned, these programs share a four-digit CIP code with certain professional degrees but have their own distinct six-digit CIP codes. Any schools that were planning to treat these degrees as professional degrees cannot currently offer federal loans at the higher limits:
- Theology/Theological Studies
- Pre-Theology/Pre-Ministerial Studies
- Theological and Ministerial Studies, Other
- Community Psychology
- Industrial and Organizational Psychology
- Educational Psychology
- Environmental Psychology
- Geropsychology
- Applied Psychology
- Applied Behavior Analysis
- Performance and Sport Psychology
- Somatic Psychology
- Transpersonal/Spiritual Psychology
- Medicine, Other
- Pharmacy Administration and Pharmacy Policy and Regulatory Affairs
- Pharmaceutics and Drug Design
- Medicinal and Pharmaceutical Chemistry
- Natural Products Chemistry and Pharmacognosy
- Clinical and Industrial Drug Development
- Pharmacoeconomics/Pharmaceutical Economics
- Clinical, Hospital, and Managed Care Pharmacy
- Industrial and Physical Pharmacy and Cosmetic Sciences
- Pharmaceutical Sciences
- Pharmaceutical Marketing and Management
- Pharmacy, Pharmaceutical Sciences, and Administration, Other
Why This Change May Be Temporary
The Department of Education revised its list in response to the court order, but litigation is ongoing. In its announcement, ED said:
“Although the Department is confident that the professional degree definition in the RISE Final Rule is lawful and will continue to defend it, we are, nonetheless, for the duration of the Court’s preliminary stay, based on the Department’s understanding of the Court’s ruling, treating the programs listed below as awarding professional degrees for the purpose of administering statutory loan limits. These interim administrative designations are provided solely to facilitate implementation of the Court’s order and may change as litigation in the case proceeds.”
This means the change likely isn’t permanent and could still revert back if the court ultimately rules in favor of the Education Department.
What This Change Means for Students
Graduate students have faced a rollercoaster of federal student loan changes over the past few years, and additional changes may continue due to ongoing legal action. For now, it’s worth familiarizing yourself with the current rules while keeping an eye on future developments.
If you’re attending any of the programs on the revised list of professional degrees, you may have access to higher loan caps, at least temporarily. However, your borrowing limit is also determined by the school you’re attending.
The Department of Education suggests that schools may choose to limit borrowing to graduate-level limits “to mitigate potential disruption to student borrowers resulting from changes in program classification that may arise from the ongoing litigation.”
If you’re planning to start graduate school soon, reach out to your financial aid office for guidance around your program’s classification and federal student loan limits. You may also want to revisit your overall financing plan in case your access to federal loans shifts again in the future.
Outside of federal loans, some alternative financing options include scholarships, grants, income from part-time work, and employer tuition assistance programs. If you continue to have a gap in funding, a private student loan could cover your remaining cost of attendance.
