Biden Administration Proposal to Narrow Student Loan Eligibility Sparks Outcry from Nursing and Healthcare Groups
WASHINGTON - A Biden administration plan to redefine “professional degrees” for federal student loan purposes is facing sharp criticism from healthcare organizations, who warn the changes will exacerbate the existing nursing shortage and increase financial burdens on aspiring medical professionals. The proposed rule,set to take effect July 1,2024,would exclude many post-baccalaureate healthcare programs – including those for nurses,dental hygienists,and medical technicians – from qualifying for the higher loan limits previously available to professional degree students.
The shift stems from a Trump-era policy reversal that broadened the definition of professional degrees, a change that allowed students in these programs to access higher loan amounts.The biden administration argues the original, narrower definition is more aligned with the intent of the Higher Education Act. However, healthcare advocates say the move will disproportionately impact women, who comprise a notable portion of the healthcare workforce, and ultimately hinder efforts to address critical staffing shortages.
A coalition of health care organizations has urged the Education Department to reconsider, arguing that post-bachelor’s degrees essential for licensure or certification should be classified as professional degrees. They point to the high demand for these roles and the financial realities faced by students pursuing them. According to a 2019 U.S. Census bureau report, women constitute approximately three-fourths of full-time, year-round healthcare workers, with even higher representation in positions like dental and medical assisting.
The American Association of Colleges of Nursing has stated the proposal, if finalized, would be “devastating” to an already strained nursing workforce. Currently, many students pursuing advanced nursing degrees are grandfathered into current lending limits. The new rule would eliminate this benefit for future students.
Susan Pratt, a nurse and president of a union representing nurses in Toledo, Ohio, expressed frustration, stating, “It’s just a smack in the face.When we where during the pandemic, the nurses showed up, and this is the thanks we get.” She fears the reduced loan access will discourage individuals from entering and advancing within the nursing profession.
Healthcare groups contend that capping federal student loans will force students to rely on more expensive private loans, possibly deterring qualified candidates and ultimately threatening patient care. The Education Department has not yet responded to requests for comment on the growing opposition.
