The One Big Beautiful Bill Act (OBBBA) enacted in July 2025 significantly impacts loans, primarily, by capping federal student borrowing and modifying, as well as introducing a new $10,000 tax deduction for certain auto loan interest. These changes, effective mostly on July 1, 2026, include phasing out Graduate PLUS loans, restricting Parent PLUS loans, and setting lifetime limits on federal, as well as student, borrowing.
Effective July 1, 2026, the One Big Beautiful Bill enacts a $257,500 lifetime borrowing limit on all federal student loans, total. This does not include Parent PLUS loans, which are borrowed by parents on their student's behalf.
If you have a mortgage, you probably know about the mortgage interest deduction—it lets you deduct the interest you pay on your loan (up to $750,000 in loan amount). The bill permanently locks this deduction in rather than being temporary and unreliable.
“No Tax on Car Loan Interest”
(Lease payments do not qualify.) Maximum annual deduction is $10,000. Deduction phases out for taxpayers with modified adjusted gross income over $100,000 ($200,000 for joint filers).
As of July 1, 2026, parents will only be permitted to borrow up to $20,000 per year per child and $65,000 lifetime per child.
The policy, enacted as part of Trump's "big, beautiful bill," allows eligible taxpayers to deduct up to $10,000 a year in car loan interest on new, U.S.-assembled vehicles purchased between 2025 and 2028.
One of the most significant changes for financial institutions is the interest income exclusion related to agricultural loans. Through the One Big Beautiful Bill Act, banks are now allowed to exclude 25% of their interest income from qualifying loans.
Yes, under the new "One Big Beautiful Bill" (OBBB) passed in 2025, you can deduct interest on a new, U.S.-assembled personal vehicle loan for the 2025 tax year (and through 2028), with a maximum deduction of $10,000, provided you meet specific income and vehicle criteria, including the vehicle's original use starting with you and the loan originating after 2024.
The 3-7-3 Rule in mortgages isn't a loan type but a federal timeline from the TILA-RESPA Integrated Disclosure (TRID) rule, ensuring borrower protection by mandating disclosures within 3 business days of application, a 7-business-day wait between the initial Loan Estimate and closing, and another 3-day wait if significant changes (like APR) occur, giving borrowers time to review costs before committing to a loan.
The One, Big, Beautiful Bill Provides the Biggest Relief to Low-Income Families. The One, Big, Beautiful Bill will cut taxes for Americans earning under $50,000 by 14.9%. 66% of The One, Big, Beautiful Bill's tax cuts benefit families making less than $500,000.
No, Income-Based Repayment (IBR) isn't going away entirely but is becoming the only remaining traditional income-driven plan after July 1, 2028, with other plans like SAVE (Saving on a Valuable Education) and PAYE (Pay As You Earn) ending, replaced by a new Repayment Assistance Plan (RAP) for new borrowers after July 1, 2026, so existing borrowers with older loans can stay on IBR if they don't take out new loans or consolidate after that date. It's a major shift, making IBR the primary option for those with pre-July 2026 loans who want to keep an older IDR plan, though new borrowers will use RAP.
The "$10,000 bank rule" refers to federal laws requiring financial institutions and businesses to report large cash transactions (deposits, withdrawals, payments) of over $10,000 in currency to the government to combat money laundering and financial crimes. Banks file Currency Transaction Reports (CTRs) for cash activity over $10,000, while businesses file Form 8300 for similar payments, both sending info to FinCEN and the IRS to track illicit funds.
President Trump's One Big Beautiful Bill Act (the Act) placed commonsense limits on federal student loans for graduate degrees. These loan limits will help drive down the cost of graduate programs and reduce the debt students have to take out.
From July 1, 2025, kids aged 10+ can open & run their own bank accounts thanks to RBI's new rules. The young a/c holders won't be allowed overdrafts or access to digital banking but they can have full control at 18. Ritu Singh explains this game-changer for young money minds!
Historically, mortgage rates have spent much more time above 5% than below it. That doesn't mean rates can't decrease further, but it does suggest that a sustained return to 3% would likely require another major economic disruption.
While it isn't necessarily a good time to buy a new or used car due to high prices, decreasing interest rates are starting to offer some payment relief. Moving into 2026, car prices are expected to remain stable without significant decreases, so putting off a purchase may not provide much cost benefit.
Based on a monthly salary of ₹70000 and assuming no existing financial obligations (like ongoing EMIs or outstanding credit card dues), you may be eligible for a home loan amount of approximately ₹34.51 lakhs. The interest rate could range between *9.25% and 15% or higher, with a loan tenure of up to 180 months.
Yes, you can likely get a $50,000 loan with a 700 credit score, as this falls into the "good" credit range (670-739) that unlocks better rates, but approval also hinges on your income, debt-to-income (DTI) ratio (ideally below 36%), and overall credit history, with lenders looking for stability and repayment ability, so prequalifying with multiple lenders helps compare terms.