What's the maximum a student can borrow for college?

Hi all, I've been looking into the financial aspect of college and it's starting to get a bit confusing. Can anyone help me understand - what's the maximum amount a student can borrow in college loans? Is there a limit to how much financial aid a student can receive from both the government and the school? Thanks!

The amount a college student can borrow in loans depends on several factors, including the type of loan and the student's academic status (undergraduate or graduate).

For federal student loans, the overall cap for undergraduates who are dependent on their parents (not including PLUS loans your parents might take out) is $31,000, and no more than $23,000 of this amount can be subsidized loans. If you're an independent student or a dependent student whose parents aren't eligible for PLUS loans, these caps increase to $57,500 for undergraduate study, with no more than $23,000 in subsidized loans.

For graduate students, the aggregate limit is higher. They can borrow up to a maximum of $138,500, but no more than $65,500 of this amount can be in subsidized loans.

It's important to note that these amounts are the total you can borrow for education, not the amount you can borrow each year. Also, these totals include any federal loans you may have received for undergraduate study if you're now in graduate school.

As for institutional aid from your college or university, this really depends on the institution itself. Factors like financial need, merit, and the school's endowment can all play a part in determining how much aid you can receive. Many institutions aim to meet 100% of a student's demonstrated need in some combination of grants, work-study, and loans, but not all schools have the resources to do so.

It's advisable to contact your college's financial aid office for school-specific information. In addition, remember to regularly submit your FAFSA to maintain eligibility for federal aid. Concurrently, you can also explore private student loans, but those should be considered only as a last resort due to higher interest rates and less flexible repayment options.