Democratic-led states say the agency’s rule implementing the One Big Beautiful Bill Act contradicts that law and arbitrarily limits federal borrowing by aspiring nurses and other students.

New York, Arizona, North Carolina, Kentucky and Nevada are among the states challenging a rule that limits federal student loans for graduate degrees in nursing, physical therapy…

A coalition of Democratic-led states is challenging the Trump administration’s recent caps on federal student loans, arguing the limits will make it harder for students pursuing…