Keep Factually independent
Whether you agree or disagree with our analysis, these conversations matter for democracy. We don't take money from political groups - even a $5 donation helps us keep it that way.
Which types of reclassified degrees lose eligibility for federal student aid and why?
Executive summary
Available reporting in the provided sources shows debate about a Department of Education proposal to narrow which credentials count as “professional degrees,” a change that could reduce some students’ federal borrowing limits; however, Snopes says the claim that programs have already been “reclassified” is false because the proposal had not passed as of that reporting [1]. The Federal Student Aid Handbook explains that program classification affects Title IV administration and loan limits and that updates to guidance appear in the 2025–2026 handbook [2] [3].
1. What “reclassification” means in this debate — and what’s actually happened
Advocates and critics are using “reclassification” to describe a Department of Education plan to apply a narrower interpretation of the 1965 regulatory definition of “professional degree,” which would determine which advanced programs get higher federal loan limits or special treatment; but fact-checking reporting by Snopes stresses that, as of its account, the agency had proposed the change rather than having completed a reclassification of specific programs [1]. The Department contends it is relying on an existing regulatory definition (34 CFR 668.2) while opponents say the interpretation is new and narrower in practice [1].
2. Which kinds of degrees have been discussed as affected
Coverage circulating in late 2025 listed nursing (MSN, DNP), many education master’s degrees, social work (MSW/DSW), public health (MPH/DrPH), physician assistant, occupational therapy, physical therapy, audiology, speech-language pathology, and counseling degrees as the programs the Department said it would no longer count as professional degrees — a specific list noted in the Snopes recap of reporting [1]. Snopes warns that headlines claiming the Department “stopped counting” these programs went beyond the status of the rulemaking at that time [1].
3. Why being a “professional degree” matters for federal aid
Federal program and student eligibility rules and loan limits are administered under the Title IV framework described in the Federal Student Aid (FSA) Handbook; classification of programs affects how institutions report program eligibility and how student borrowing limits are applied, so changing which credentials qualify as “professional degrees” can change students’ access to higher borrowing caps and other Title IV treatments [2] [3]. Rights News Time’s guide frames the practical consequence simply: professional-degree status has historically influenced federal loan limits and reclassification could reduce funding options for affected students [4].
4. What the handbooks show about process and authority
The FSA Handbook and the 2025–2026 handbook materials document that the Department issues guidance to financial aid administrators on institutional and program eligibility and that those texts are updated and reviewed through formal agency processes [2] [3]. That administrative framework implies that any durable change in which programs qualify as professional degrees would come through revised regulations, Federal Register notices, or handbook updates — not informal, immediate “reclassifications” outside the rulemaking process [2] [3].
5. Disagreements and potential motivations to note
Reporting cited by Snopes shows a sharp split: the Department framing the move as an application of a long-standing definition, while critics call the Department’s interpretation unduly narrow and warn of financial consequences for students in health and education fields [1]. Observers pushing alarmist headlines may be motivated by rapid social-media sharing of lists of affected programs; similarly, the Department’s emphasis on regulatory fidelity could reflect an agenda to reduce loan exposure or tighten program oversight — the documents provided do not adjudicate those motives, they only record the competing framings [1] [4].
6. What the sources do not settle — and what to watch next
Available sources do not provide the final regulatory text or formal handbook change that would definitively remove programs from “professional degree” status; Snopes explicitly states the proposal had not passed at the time of reporting [1]. To know concretely which degrees would lose certain Title IV benefits, watch for a Federal Register notice of a final rule, updates to 34 CFR language on ecfr.gov, and the forthcoming 2025–2026 FSA Handbook edition and agency guidance that implement any change [1] [3].
Limitations: This analysis relies on the cited fact-checking and handbook materials and the Rights News Time guide supplied; the provided sources do not include the Department’s final rule text or a formal Federal Register notice that would confirm completed reclassifications [1] [2] [3].