Social media melts down over minor Trump policy change on student loans
A minor change to student loan policies has been in the works ever since the One Big Beautiful Bill Act was signed into law in July 2025. This week, a left-wing media outlet prompted an online meltdown after it recycled its wildly misleading reporting about the change — and immediately went viral.
TL;DR
- A misleading article from The New Republic about student loan policy went viral, causing an online 'meltdown'.
- The policy change restricts student loan eligibility for a small percentage of degree programs with poor return on investment.
- Experts clarify that only programs where graduates earn no more than a high school diploma holder will be affected, a threshold described as 'crazy low'.
- Fewer than 5% of undergraduate programs may lose eligibility, with cosmetology certificates being the most likely affected.
- The change does not ban majors but aims to prevent taxpayer loans from supporting degrees with negligible financial outcomes, allowing students to still attend these programs with other funding methods.