Federal Judge Blocks Rule Redefining ‘Professional’ Degrees, Preserving Higher Student Loan Caps
A federal judge has issued a temporary injunction against a controversial Trump administration rule that would have severely restricted the amount of federal student loans available to certain graduate students.
The Department of Education’s rule, which was scheduled to take effect on July 1, proposed a narrowed definition of what qualifies as a “professional” degree. Under the new guidelines, fields such as nursing, teaching, social work, and accounting were excluded from a list of just 11 approved professions.
However, on Wednesday, U.S. District Judge Beryl Howell for the District of Columbia halted the policy. In her ruling, she determined that the administration likely violated the Administrative Procedures Act by overstepping its authority.
“By adopting the preexisting definition as it was in effect on a specific date, Congress removed any discretionary authority the Department may have had to narrow the definition for the purpose of determining federal loan caps,” Judge Howell wrote.
**The Financial Stakes**
At the heart of the dispute are the federal borrowing limits tied to the "professional" designation. Students pursuing these specific degrees are permitted to borrow up to $50,000 annually, or $200,000 in total. Conversely, students in other graduate programs face much stricter caps of $20,500 per year, or $100,000 total.
Supporters of the administration's rule argued that lowering the borrowing limits for these specific fields would ultimately drive down the overall cost of graduate education and help curb the national student debt crisis by forcing institutions to lower their tuition.
**Pushback from Workers and Advocates**
Critics of the rule, however, argued it would devastate access to higher education for essential workers. Six professional associations—including groups representing advanced practice nursing, therapy, public health, and education—filed lawsuits to block the change. They pointed out that a vast majority of future nurses and educators rely heavily on federal loans to afford their advanced degrees.
The American Association of Colleges of Nursing pushed back strongly last November, noting that the narrow definition disrespected the rigor of postbaccalaureate nursing education and would deal a "devastating" blow to an already strained healthcare workforce.
For individual students, the stakes are deeply personal. Bassey Etim-Edet, a high-risk labor and delivery nurse who worked on the front lines during the pandemic, previously told *Fast Company* that her career was only made possible by taking out $150,000 in student loans.
“To go from ‘healthcare hero’ to not being recognized as a professional is such a backhanded slap,” Etim-Edet said, adding that healthcare workers are already "disrespected, underpaid, and underresourced."
**What Happens Next?**
While Judge Howell’s ruling successfully pauses the narrowed definition of a "professional" degree, it does not strip the Department of Education of its broader authority to regulate or cap student loans.
Following the decision, a Department of Education spokesperson stated that the agency is currently reviewing the judge's order to determine its next legal steps. Despite the setback, the Department remains committed to rolling out its broader RISE (Reimagining and Improving Student Education) loan provisions and introducing new, affordable repayment plans on July 1 as originally planned.
In the meantime, the advocacy groups that fought the rule are celebrating the legal victory. The American Association of Nurse Practitioners praised the ruling in a Thursday Facebook post, calling it a crucial win for nursing students, the future healthcare workforce, and the patients who rely on them.