A proposed US Department of Education rule would place a limit on how much students can borrow for education when the education they’re getting is from for-profit schools. The limit would be 8% of  their expected starting salary. So, if you as a new medical assistant make $25,000, you would pay back no more than $165 a month in loans. Secretary of Education Arne Duncan believes the rule would force underperforming for-profit training programs to fold.

This sounds good for students, but could force many colleges to cancel their programs, which could be bad for students  in the long run, say school administrators.

According to an article from the Albany Business Review, Michael Gutierrez, campus director of Bryant & Stratton in Albany, said some of their most popular programs, such as medical assisting and criminal justice, are popular because they lead to career placement after graduation. But a borrowing cap could mean fewer students would be able to enroll, and fewer students leads sooner or later to fewer programs.

Secretary Duncan maintains that the rule will ensure that for-profit schools have high job placement rates, low loan default rates and high graduation rates.

The Career College Association is fighting the cap, saying placing limits on funds could at a minimum make it more difficult for 360,000 students across the United States who attend for-profit schools.