Parent PLUS borrowers face a critical July 1 deadline to consolidate their loans into a Direct Consolidation Loan or permanently lose access to income-driven repayment plans and Public Service Loan Forgiveness, experts warn. The change stems from legislation passed last July as part of President Donald Trump’s tax and spending package, which phases out several current repayment plans and creates new options. After July 1, unconsolidated Parent PLUS loans will be limited to the Standard Repayment Plan, which does not qualify for PSLF and may result in higher monthly payments. Borrowers must complete consolidation on studentaid.gov before July 1, and once consolidated, they have until July 1, 2028 to enroll in an income-driven plan. New Parent PLUS borrowing will also be capped at $20,000 per year and $65,000 lifetime per dependent, though existing borrowers may continue under old limits for up to three school years.