A Federal Reserve Bank of Philadelphia analysis finds roughly 28% of recent graduate borrowers exceeded the federal borrowing caps that take effect in July, flagging a major funding shock for graduate education. The study, by the Consumer Finance Institute, shows substantial variation by program and sector—doctoral students at private nonprofits are far more likely to surpass the caps than master's students at for‑profit institutions. Researchers warn that many of the affected students lack private-credit profiles sufficient to secure alternative financing without cosigners, raising immediate concerns about enrollment, program affordability and institutional budgets.