Starting July 1, 2026, new policies governing Federal Student Loans for higher education went into effect that cap the amount a student can borrow both per year, and for their entire lifetime. The amount varies depending on the degree and level of education. For example, a student attending medical school will only be allowed to borrow a maximum of $50,000 per year, and $200,000 for their entire education. Many medical programs cost more than $400,000 total, leaving the student with a dramatic shortfall.

Supporters of the new policy say the reason behind them is that the current student loan system is predatory and has resulted in increased rates of tuition never seen before, even when accounting for inflation. They reason that when they restrict the amount of funding a student can borrow, Universities and institutions will be forced to reduce their tuition rates. They further reason that with less funding available, fewer students will enroll which will result in lower tuition rates under the law of supply and demand.

Opponents of the policy changes argue that reduced access to federal aid will have a chilling effect, especially among low-income students whose resources are already strained and may not have access to family support. Already, students who have previously considered and prepared for an advanced degree have begun to rethink their career paths. CNN reports that would-be medical professionals are changing their education track mid-stream as they realize the new federal aid policies make achieving their dreams impossible.

University and nonprofit experts further argue that the high cost of education, and the primary use of federal student loans, have little to do with tuition and more with the high cost of living. Many students rely on federal student aid to close their funding gap, even when they are actively employed. Paying rent, buying food, and covering utilities are often a large portion of the expenses for which student loans are used.

With access to federal aid restricted, students are left with fewer choices. Some may consider taking out private student loans, which are considered extremely predatory and may not even be available to younger students with little-to-no credit history. Other students may be forced to take gap years to save up resources, or take a longer time to complete their education, both of which result in higher drop-out rates.

The general consensus of experts in the field is that these changes will do little to lower tuition rates or the general cost of education and will, instead, result in higher dropout rates and a strain on professional fields, such as nursing or teaching, which are already experiencing dire shortfalls in the job market.
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Wesley House can help bridge the affordability gap when it comes to housing and food, but we cannot do it without the support of our donors and volunteers! To learn more about how you can help, please visit our support page.

Summer is here! For many students, this time is one to recoup after a long semester. At Wesley House Student Residence, however, the Housing Navigation program does not take a break! That's why, whether a student or just curious, we want to give you a glimpse into how we work with our Housing Navigation Clients.

We are happy to see a continuous flow of new intakes and to help students achieve their goals by staying housed. As our numbers grow larger, it is increasingly necessary for those interested in becoming Wesley House clients to collaborate in building their foundation for success. To this end, we encourage current and prospective clients to make the most out of their on-campus resources.

While we do have a rental assistance program, when students approach their school as a first line of defense, the process with us can run much more smoothly. For instance, while waiting to be screened after being on our waitlist or waiting for their first appointment after passing through screening, new clients can best help themselves by seeking Basic Needs resources at their school.

It is important to be persistent, ask questions if denied help, and record your interactions with these support systems so that your Housing Navigator can involve himself efficiently afterwards. This month, Wesley House was able to facilitate an appeal process with a student who had previously been denied aid at Miramar College. After completing a new budget that reflected her new income, the student and Housing Navigator persuaded Miramar College to take a second look at her application.

Don’t let academic bureaucracy intimidate you! Our housing-first approach DOES NOT mean “housing only.” Because a student’s living situation is central to all aspects of their long-term success, comprehensive advocacy is a constant resource we offer for clients’ empowerment. In this manner, they are more prepared to face people in positions of power on their own. Indeed, we have seen students learn from the process of case management and apply self-advocacy skills in other areas of their lives needing stabilization. For students to replicate problem-solving skills as they approach graduation motivates Wesley House to maintain a steady presence towards the finish line of students’ degrees, certifications, or licensing programs.

Post-secondary education does not need to be lonely. We encourage Housing Navigation clients, make sure to exhaust all your on-campus resources. Even if you are a private university graduate student, still inquire about scholarships and, if all else fails, student loans. Were you granted a stipend, fellowship, or tuition waiver? Don't be afraid, ask for more. The worst thing that can happen is they say no.

Sometimes we think decisions are made arbitrarily, with many degrees of separation between the funding party and the student. In some cases, such as with FAFSA, that is correct. However, if you are seeking support on campus, it can only help to educate yourself on the policies by which the structures operate and any wiggle room there could be for you to gain support.