Governor Healey Denounces President Trump’s Cap on Federal Student Loans for Health Care and Social Workers, Educators

Governor Healey Denounces President Trump’s Cap on Federal Student Loans for Health Care and Social Workers, Educators  

BOSTON – Governor Maura Healey and Secretary of Education Steve Zrike released the following statements in response to the U.S. Department of Education releasing a final rule that sharply limits access to low-cost federal student loans for graduate degrees in high-need, high-value fields the Trump Administration does not classify as “professional,” including nursing, physical therapy, physician assistants, occupational therapists, education and social work. 

Governor Healey is committed to strengthening the workforce in critical fields like health care and education and making it more affordable for people to enter these professions. In early March, she spoke out in opposition to this rule, warning that it would increase costs and limit career opportunities for students. At the same time, the Healey-Driscoll Administration has taken action to expand loan repayment support for workers, including launching a $15 million state loan repayment program for early education and care professionals in March and loan repayments for health and human service workers through the MA Repay Program. 

 “At a time when people are already struggling with costs, President Trump is making higher education more expensive and harder to access,” said Governor Maura Healey. “This rule is going to push students into more expensive private loans, and it blocks pathways into critical careers in the health care and education spaces. As the daughter of a school nurse, I know firsthand how important these jobs are to our communities. Massachusetts needs more nurses, social workers and educators – not fewer. This will make workforce shortages worse and make it harder for people to get the care, services and education they rely on.” 

“All students – regardless of income – should be able to aspire to be an advanced nurse practitioner, independently licensed social worker or educational leader. The Trump Administration’s harmful policy decisions will disproportionately impact low-income borrowers, forcing students to take out riskier higher-cost private loans to advance their careers,” said Secretary Zrike. “We have a national student debt crisis, but increasing monthly loan repayments for low-income people is not the solution. Further privatizing the student loan market will not make the system better.” 

The final rule caps federal graduate student loan borrowing at $20,500 per year for programs the Trump Administration does not classify as “professional.” The Healey-Driscoll Administration estimated that if implemented, approximately 13,000 Massachusetts graduate students would be impacted each year, forcing many to rely on higher-cost private loans to continue their advanced program studies. Of those impacted, an estimated 4,000 residents would be unable to access private loans due to income or credit limitations, effectively blocking them from advancing their education and careers. 

The final rule also finalizes changes from the One Big Beautiful Bill Act passed by Congressional Republicans and signed by President Trump that eliminates the Grad PLUS federal loan program, caps the Parent PLUS loan program at $20,000 annually for borrowers, and replaces federal loan repayment plans with two options: the Repayment Assistance Plan, a new income-driven repayment plan, and the fixed payment Tiered Standard plan. 

The state is recommending that all borrowers check on the status of their federal student loans and stay informed on options available. Borrowers should also be aware of student loan debt relief scams, including phone calls, emails, notices, and/or texts from companies that charge fees to help borrowers pursue debt relief, access more affordable payment plans or resolve defaulted loans.   

Massachusetts borrowers who have a complaint against a student loan servicer or need help navigating their repayment options are encouraged to contact the Attorney General’s Student Loan Assistance Unit.