Best Law School Loans of 2023

Law school can be expensive, especially if you plan to attend a private school. On average, you can expect to pay about $53,000 annually for tuition and fees alone, according to U.S. News data. Public schools are cheaper, but even with in-state tuition, the average cost is more than $29,600.

Understanding the best ways to pay for law school, especially with student loans, is key to minimizing your costs after graduation.

Law school loans are available to help you pay for your education for a career in law. Borrowers can access higher loan amounts than undergraduate loans but typically with higher interest rates. Some lenders even offer loans you can use to prepare for your state’s bar exam.

You can get a handful of different types of student loans to pay for law school. Understanding each one will give you a better chance of selecting the right loan features based on your needs.

The maximum Direct PLUS loan amount you can borrow annually is the cost of attendance at your school minus any other financial aid you receive. You’ll also get many of the same benefits as other federal loans, including access to loan forgiveness programs and income-driven repayment plans.

However, Direct PLUS loans charge the highest interest rate among all federal student loans, and you’ll pay an upfront loan fee. A credit check is required, but it won’t affect your interest rate.

This federal loan program limits the amount you can borrow every year and in total. Like Direct PLUS loans, unsubsidized loans provide access to federal loan benefits. But unsubsidized loans come with a lower interest rate and loan fee than the Direct PLUS loan program.

Some lenders offer student loans specifically tailored to law school students. Others may offer a generic graduate school loan. Private student loan terms can vary depending on the lender but usually don’t include upfront fees like federal loans.

You can also expect a credit check to determine whether you qualify and what your interest rate will be. Consider private loans if you can qualify for a lower interest rate than what the federal loan programs offer and don’t think you’ll need federal loan benefits.

However, it’s impossible to predict the future, so getting federal loans first may be a safer bet, says Erika Kullberg, an attorney who paid off more than $225,000 in law school loans in less than two years.

“If you have the choice between private and federal student loans, I always recommend going for federal student loans,” Kullberg says.

Applying for student loans for law school is a relatively simple process, but take these steps seriously and early. Taking both steps is a good idea, regardless of whether you want federal or private student loans.

The Free Application for Federal Student Aid is required if you want federal student loans. The FAFSA asks about yourself, your finances and, depending on your situation, your parents’ financial information. It will be used to determine your eligibility for federal and other types of financial aid.

Private student loan companies require you to formally apply to get a binding offer. But some also allow you to get rate quotes through a prequalification process. This process only requires a soft credit check, which won’t change your credit score.

The result will give you a good idea of the terms you’ll qualify for if you officially apply. With this information, you can compare private and federal student loan options.

“Be sure to evaluate the interest rate you actually qualify for and not the lowest rate they offer,” says Ashley Norwood-Struppa, program specialist for the U.S. Department of Education. “This can make a big difference in your overall payment amount. You should also consider the flexibility of the repayment options and how long the repayment options offered are.”

Choosing a type of law school loan can be challenging, but knowing some of the differences between federal and private loans can help.

As such, take the time to research all of your options to understand both the benefits and the drawbacks. Then, use that information to decide the best path forward.

Student loans can be an easy and effective way to get money for law school, but other methods don’t involve borrowing and can save you thousands of dollars.

Depending on your school, you may be able to get a scholarship to help you pay your tuition. You can also search for scholarships from private organizations on websites such as Scholarships.com and Fastweb.

Some colleges offer grants to law students based on their financial need. Check with your school to find out if grants are available to help you.

Working while you’re in law school isn’t always the best decision because of its demands.

“Many law schools will encourage students against working, especially during their first year of law school if attending full time,” Norwood-Struppa says. “Law students can work during the summer and breaks to help lower the amount needed to borrow to cover their cost of attending law school.”

You might explore work as a summer associate at a law firm or an internship. The work-study program is another option, but it is a need-based federal program and will require the FAFSA to see if you qualify.

Repaying law school loans works similarly to other types of student loans. If you get federal loans, payments are automatically deferred until you’re out of school. With private lenders, you may have more options.

You could choose to defer your payments as with federal student loans or start to make full or interest-only payments while you’re in school. Once you graduate, you might also be able to refinance your loans.

How you should pay back your law school loans has no one-size-fits-all answer. Consider your finances and goals to make the best decision for you.

Kullberg also suggests preparing yourself now for when you’ll need to start making payments. “Focusing on forming good money habits during law school will make it easier to pay off your student loans after you graduate,” she says. For instance, learn how to budget and track expenses. “Find a budgeting system that works well for you.”

This question has no right or wrong answer. Taking out student loans is a highly personal decision based on your financial situation.

Before you borrow money to start a legal career, make sure you have a plan to pay.