Start Here to Find Law School Monies
The high cost of a law school education requires most law students to rely on educational loans such as financial aid to finance at least part of their studies. Although the best sources of information on possible funding are law schools themselves, I have put together some information to introduce you to the financial aid process and some of its resources that might be available for you. Remember, the earlier you begin researching possible student loan options and completing both your income tax return and other necessary forms, the more likely you are to secure the needed monies to further your education.
There will be several issues to consider before actually applying for financial aid.
• While federal student loan programs for students pursuing graduate and professional degrees do not need parental financial statements, law schools themselves will vary widely in the information they will use to compute financial aid packages. Many will request and require financial information from your parents or others who have provided support for you, even if you have been out of school and on your own for a while.
• Large amounts of consumer debt on credit cards, outstanding debts, or a bad credit rating may affect your ability to borrow the money needed.
• If you are planning to enter a low paying public interest legal job after completing your J.D., you may want to investigate student loan forgiveness programs at some law schools, which assist graduates who take such jobs in repaying law school educational student loans.
The application process for most forms of financial aid will begin with the Free Application for Federal Student Aid (FAFSA). This is available from any college financial aid office or online (fafsa.ed.gov/). You will have to complete your income tax return for the most recent year before you begin to fill out the FAFSA application. Some law schools may also require you and your parents to apply through the Access Group (accessgroup.org) or the College Scholarship Service Financial Aid Profile (collegeboard.com). These are need analysis services that will gather information to determine eligibility for institutional financial aid (scholarships and grants). In addition, some schools may have their own financial aid applications.
Need Based Aid
There are three types of student loans available through either the Federal Direct Student Loan Program (FDSLP) or the Federal Family Education Student Loan Program (FFELP):
1. Subsidized Federal Stafford Student Loan: Students with demonstrated financial aid need can borrow up to $8,500 per year; the federal government pays the interest while the student is in school.
2. Unsubsidized Federal Stafford Student Loan: Students are allowed to borrow up to a combined total of $18,500 in subsidized and unsubsidized student loans. Students may pay the interest or let it accrue while in school.
3. Perkins Federal Student Loan: This student loan is available to students at certain schools only, the amounts are determined by an individual basis and the federal government pays the interest while the student is in school.
All of these college student loans are offered under the same terms; Federal Direct student loans, however, are disbursed through individual law school financial aid offices instead of through banks or other traditional lenders.
