Best Law School Loans of October 2026

The federal grad PLUS loan program was discontinued for new borrowers on July 1, 2026. This significantly changed the options available for financing a law degree, as grad PLUS loans have historically allowed graduate and professional students to cover their full education costs with federal loans.

Grad PLUS loans have been a go-to for law school students because they help fill the funding gap left after reaching borrowing limits on federal Direct Unsubsidized Loans. The grad PLUS program enabled students to borrow as much as their school’s full cost of attendance, minus any other financial aid received.

Without grad PLUS as an option, law students will face stricter federal borrowing limits and may need to rethink how they pay for advanced degrees. While the government increased the annual borrowing cap for Direct Unsubsidized Loans for law students from $20,500 to $50,000, and increased the aggregate loan limit to $200,000, the cost of law school (including tuition, fees, and living expenses) is likely to exceed the higher limit for many students.

Law school student loans are graduate-level education loans used to cover the cost of earning a Juris Doctor (J.D.) degree. These loans can help you pay for law school tuition, books, bar exam prep, and living expenses such as rent and transportation. The U.S. Department of Education categorizes law school as a graduate professional degree program, which, under new rules effective in July 2026, has higher borrowing caps than other types of graduate programs. 

There are two main types of student loans you can use to pay for law school: federal student loans issued by the Department of Education, and private law school loans offered by banks, credit unions, and online lenders. Many law students use a combination of both to fully fund their education.

Choosing the right law school loans involves balancing federal protections against the potentially lower interest rates offered by private lenders. Before borrowing, it's important to understand how federal and private loans compare. Each offers its own advantages and trade-offs, from interest rate structures to repayment flexibility.

Note: Federal student loan rates are set by Congress annually and usually announced in mid-to-late May.

How much you can borrow for law school now depends on when you take out your loans.

For federal loans disbursed before July 1, 2026, law students can borrow up to $20,500 per year in Direct Unsubsidized Loans. They may also use grad PLUS loans to borrow up to their school’s full certified cost of attendance, minus other financial aid.

Grad PLUS loans are no longer available for new borrowers on or after July 1, 2026. Instead, federal borrowing for graduate and professional students will be capped at $50,000 per year. While the new annual cap more than doubles the previous amount, law students may no longer be able to cover the full cost of attendance through federal student loans.

Private lenders typically allow you to borrow up to your school’s full certified cost of attendance, and some offer lifetime limits of $500,000 or more, depending on your credit profile. However, private loans for law school have credit-based approval requirements and don’t include federal protections like income-driven repayment or loan forgiveness.

To qualify for private loans for law school, lenders typically require:

• A good credit score (usually mid- to high-600s or above)
• Verifiable income or a cosigner with income
• A relatively low debt-to-income (DTI) ratio (varies by lender)
• Enrollment in an eligible law degree program

If you don't meet these requirements on your own, applying for a law school loan with a cosigner can improve your chances of approval and help you secure a lower interest rate.

Interest on most law school loans begins accruing once the funds are disbursed, even while you're still attending school. Federal loans come with fixed rates, while private lenders may offer fixed or variable rates depending on your credit profile.

• Federal loans: Fixed rates set annually by Congress, unaffected by your credit
• Private loans: Credit-based rates, which may be fixed (stable) or variable (fluctuate with the market)

Some private lenders offer in-school deferment, letting you postpone full repayment during law school or bar prep. Making interest-only payments during this time can reduce your total cost over time.

While federal student loans are usually the best first choice, private student loans for law school can play an important role if you've hit federal borrowing limits or qualify for a lower interest rate based on your credit. Before taking out a private loan, it's important to weigh the potential advantages against the limitations.

Here's a closer look at the pros and cons:

Law school can be expensive, but careful planning can help reduce how much you need to borrow. Consider these cost-saving strategies:

• Apply for scholarships and grants for law students: Many law schools, including the University of Texas at Austin Law School, offer merit-based scholarships, while some offer need-based aid. Professional organizations such as the American Bar Association (ABA) offer annual scholarships to first-year law students.
• Work part-time or find paid legal internships: You can build your resume and offset your school expenses by working in clerkships, research assistant positions, and part-time roles at local law firms.
• Explore loan repayment assistance programs (LRAPs): Some state governments, employers, and law schools offer LRAPs that can help with repayment of your law school debt in exchange for working in public service or in underserved communities. You may also qualify for federal Public Service Loan Forgiveness (PSLF) if you have federal loans and work for a qualifying employer after graduation.
• Look into employer tuition assistance: If you're working while attending law school, some employers offer tuition reimbursement or assistance programs, particularly if the degree relates to your current role.
• Consider attending a lower-cost or in-state law school: Tuition can vary widely between law schools, and attending a less prestigious program with a scholarship may leave you with significantly less debt after graduation than attending a renowned law school at full price.
• Live modestly to reduce day-to-day costs: Choosing to live with a roommate, cooking at home instead of eating out, and buying used textbooks can significantly cut down your cost of attendance, which reduces how much you must borrow.

1. Get prequalified law school loan rates

With Credible, you can compare law school student loan rates from multiple private lenders with no impact on your credit score. Simply enter your basic personal and academic information to instantly view prequalified rates and estimated terms from top lenders matched to your profile.

2. Compare top law school loan lenders

Review the best private law school loans side-by-side to find the right fit. Pay attention to interest rate options (fixed vs. variable), repayment flexibility, fees, borrower perks like rate reductions or forbearance options, and the lender's overall reputation.

3. Choose the best law school loan for your needs

Once you've compared lenders, pick the private law school loan that best suits your budget and goals. Consider applying with a cosigner. Doing so could help you qualify for a lower interest rate. If you decide to use a cosigner, be ready to provide their financial and contact details when you apply.

4. Complete your law school loan application

To apply for a law school loan, gather the necessary documentation, including a government-issued ID, income verification (like tax returns or recent pay stubs), and proof of law school enrollment. Then, fill out the student loan application with your chosen lender, upload your documents, and submit for approval.

To determine the best student loan lenders, Credible collected more than 1,000 lender data points and evaluated them on several different categories: repayment options, eligibility, interest rates, loan terms, and customer support. We assigned a score out of five stars to each lender based on our findings. Below are the weightings assigned to the general categories for the best student loan companies — which comprise individual criteria that are also weighted.

• Repayment options: 30%
• Eligibility: 25%
• Interest rates: 20%
• Loan terms: 15%
• Customer support: 10%

While the best lender for you will depend on your unique needs and financial circumstances, these findings should help answer your questions and assist you in your search for the best student loan.

Learn more about our methodology.