SoFi gains over QQQ after small business loan push brushes off KBW skepticism

The July 1 student loan rewrite gives investors a clearer look than most recent fights in Washington: how much demand will shift from unlimited federal credit to private student loans, and how much drops off thanks to price cuts, lower enrollment or tougher credit. The law cuts off new Grad PLUS loans for a lot of grad and professional students, ending the run where eligible students have been able to borrow up to full cost of attendance.

Private student-loan lenders face a credit test going into July 1. Federal borrowing caps may steer more grad and parent loans their way, but another delay in mandatory SAVE plan exits and borrower credit data show the shift isn't just about getting more volume. Instead, lenders look set to sift borrowers by credit.