Student Loans in Crisis | Topeka News

Topeka News Today | 2 Min News | The Daily News Now! · Jul 23, 2026 · 1m

Federal student loan reforms are sparking alarm among borrowers and advocates, as sweeping changes tied to a major tax and spending law threaten to push students toward riskier private lenders and disrupt access to higher education. With over $1.7 trillion in student debt, the shift—moving aid functions to the Treasury and tightening borrowing limits, especially for grad students—could disproportionately hurt low- and middle-income students and students of color, who may face higher rates, fewer protections, or even loan denials. Critics warn that many affected borrowers already have credit…