How much can I take out in student loans?

Loan limits for private student loans and federal student loans can vary depending on a number of factors, including your tuition cost, dependent status and other eligibility factors. Though you may qualify for the maximum loan amount, borrow only what you truly need.

To figure out how much you need to borrow, tally up costs such as housing, tuition and living expenses. Take that number and subtract it from the aid and other money you already have to pay for school. The difference is what you may need to borrow.

Federal student loan limits

There are three types of federal student loans. Each loan type has its own loan limit, but the amount of federal student loans you can take out also depends on a few common factors.

The three types of federal student loans are the following:

1. Direct Subsidized Loans: Need-based loans for undergraduate students that include some periods where the government covers interest costs. The yearly amount of aid can be up to $5,500, depending on your year.
2. Direct Unsubsidized Loans: Loans for undergraduate, graduate and professional students where all interest costs are covered by the borrower. The yearly amount for any loans taken out before July 2026 can be up to $20,500 minus any subsidized loans.
3. Direct PLUS Loans: Loans for parents of undergraduate students and eligible graduate and professional students. The yearly amount can be up to the cost of attendance minus any other federal loan amounts.

How your federal student loan amount is determined

Using standard federal student loan limits, the cost of attendance and your Free Application for Federal Student Aid (FAFSA) information, your school determines how much you’re eligible to borrow in federal student loans. The amount you can take out is based on:

• The cost of attendance
• Your year in school
• Your status as a dependent or independent student

Undergraduate federal loan limits

Your loan limit as an undergraduate depends on whether you are a dependent or an independent student. You are considered a dependent if your parents financially support you. If you financially support yourself, you are considered independent. You may also be considered financially independent if you are over 24 years old, a military veteran or married.

Federal student loan limits for dependents are $5,500 to $7,500 each year, up to a lifetime limit of $31,000. Independent students can borrow $9,500 to $12,500 annually and up to $57,500 in total. If you’re a dependent undergrad but your parents don’t qualify for a parent PLUS loan you may be able to borrow up to the federal student loan limits for independent students. Loan limits for undergraduate loans will not change in 2026.

Annual loan limits for dependent and independent undergraduates

Graduate federal loan limits

If you are a student working towards a graduate or professional degree, you can take out Direct Unsubsidized Loans as well as Direct PLUS Loans until July 2026. Grad students are not eligible for subsidized loans.

Graduate and professional students have a total federal loan limit of $138,500, including any loan amounts used for undergraduate study. You can borrow up to $20,500 per year in Direct Subsidized Loans for grad school. Any extra loan funds needed to cover the cost of attendance may be covered with a grad PLUS Loan. You will not be able to get a grad PLUS loan starting July 2026 and may need to turn to private student loans for graduate school.

Loan limits for federal graduate loans before July 2026

Loan limits for federal graduate loans after July 2026

What to do if you hit your federal loan limit

If you’ve reached your limit on student loans, there are still ways to reduce the costs to make a college education financially easier.

• Attend an in-state school or community college: Consider enrolling in community college the first couple of years to knock out some of your required general education classes and save money compared to a four-year university. Or, if you’re looking at an out-of-state school, consider an in-state school, which has less expensive tuition.
• Explore online programs: Enrolling in an online program could help you save money on housing and transportation costs.
• Federal work-study programs: Applying for a work-study job can help you reduce the funding gap and rely less on additional loans.
• Commute or live off-campus or with roommates: Instead of living in the dorms on campus, consider living at home or off-campus with a roommate to save money on living expenses.
• Rent or buy used textbooks: Purchasing used textbooks or renting books from the school store or library instead of buying brand-new books can help you save money.
• Scholarships and grants: Unlike student loans, you don’t have to repay grants or scholarships.
• Work a part-time job: If you have some free time, consider picking up a part-time job to help cover some school expenses, even online tutoring and side hustles.
• Take out a private student loan: Private loans can help fill the gap between your college costs and federal aid and may have higher loan limits. Private loan rates are typically higher than federal loans and may require a cosigner.

Private student loan limits

Private student loans are usually best to take out when you’ve maxed out your federal financial aid. They require hard credit checks for approval and lack benefits like loan forgiveness opportunities and income-driven repayment plans.

While many lenders will allow you to borrow up to the total cost of attendance, the total amount you can borrow will vary based on the lender, your major, your year in school, your credit score and whether you have a cosigner.

Below are examples of student loan limits among some private lenders:

How much should you borrow in student loans?

The amount you should borrow in student loans depends on how much you need to pay for college. It’s a good idea to consider all your payment options for college before taking out loans. When you know how much you need to pay for college, explore federal student loan options first, as they come with more benefits than private student loans.

You may not want to borrow up to the borrowing limits just because you can. You’ll need to pay back any money you borrow, plus interest and fees. The Bureau of Labor Statistics may help you when it comes to estimating your postgraduation salary, and you can use a student loan calculator to estimate your loan payment based on the loan amount and interest rate.

Bottom line

Whether you borrow federal student loans, private student loans or both, you will need to pay back whatever you borrow. In addition, you’ll pay any accrued interest and loan fees associated with your student loans. Consider all your options as you decide how much money to borrow to pay for college.

Frequently asked questions

• Is there a benefit to borrowing less than the cost of tuition?

  Yes, it can be a good idea to borrow less than the cost of tuition. Any amount you borrow will need to be paid back, including any accrued interest. If you can pay even a small amount on your own or apply for grants or scholarships, you will have less to pay back.

• Can you increase your student loan amount?

  You won’t be able to borrow more federal student loans than the borrowing limit, but you may be able to apply for additional student loans from private lenders. Keep in mind these can come with higher interest rates and more fees.

  If your parents are willing to take out a PLUS loan, you might be able to fill the gaps that way too. Parent PLUS loans do have the highest interest rates out of all the federal loan products and could lead to more high-interest debt down the road.

  While parent PLUS loans taken out before July 2026 have a limit of up to 100 percent of the cost of attendance, any taken out after that date will be limited to $20,000 per child, annually, and $65,000 per child in total.