Student Loans

Direct Unsubsidized loans are offered by the federal government through the Department of Education, and are available to all qualifying students (must be a U.S. citizen or eligible noncitizen) who complete the FAFSA, regardless of financial need. The interest rate for new Direct Unsubsidized loans is determined annually, based on the 10-year Treasury bill plus 3.6 percent. The interest rate for loans with disbursement dates between July 1, 2025 and June 30, 2026 is 7.94 percent fixed for the life of the loan. These loans accrue interest while the student is in school and during deferments and grace periods. Students may defer interest payments until after they graduate, but doing so will increase the total cost of the loan.

Starting with the 2026-2027 academic year:

• Entering 1Ls, New Transfer Students, and First-Time Loan Borrowers at Michigan Law
  • Direct Unsubsidized Loans are available for up to $50,000 per academic year.
  • As of July 1, 2026, the federal loan borrowing limit for new borrowers in a professional program is $200,000.
• Continuing 2Ls and 3Ls Who Borrowed a Federal Loan at Michigan Law Prior to July 1, 2026
  • Your federal loan eligibility will continue to be based on the previous federal loan limits so long as you meet legacy provision requirements. For full details on the legacy provision and loan eligibility, please see our Changes to Financial Aid page.
  • Those who qualify for the legacy provision may borrow up to $20,500 annually, and may utilize the GradPLUS Loan if needed (see below).
  • Dual Degree, LOA, or students taking additional time to complete their program may not meet the legacy provision requirements. We are still waiting on final rules from the Dept. of Education.

If you need to borrow additional loans for tuition and/or living expenses, you may borrow up to the cost of attendance minus any other forms of financial aid you are receiving. This amount will be listed on your financial aid notice as “Grad PLUS/Alternative Loan Eligibility.” Once available, you can view your financial aid notice in Wolverine Access; navigate to Financial Aid > Award Year > Awards > Award Notices. Although you may borrow an additional loan up to the remaining amount of your Cost of Attendance, our budget should be used as a guideline only and you should attempt to borrow as little as possible.

Approval of these loans require a good credit history. It is therefore extremely important to maintain good credit if you plan to use these options. If you choose to borrow a Grad PLUS or private loan, a separate application is required. Typically, students will borrow for the full academic year in their first application. This will limit the number of credit inquiries, which could have a negative impact on your credit score, it saves you time, and you don’t have to remember to reapply in between terms. You can only borrow loans for the academic year when you are enrolled at least half-time, so we cannot process summer loans. Loan requests must be received at least three weeks prior to the last day of classes for your term of enrollment.

Changes to Financial Aid

Cost of Attendance

Federal Grad PLUS Loans are offered by the Department of Education. The interest rate for new Grad PLUS loans is determined annually, based on the 10-year Treasury bill plus 4.6 percent. The interest rate for loans with disbursement dates between July 1, 2025 and June 30, 2026 is 8.940 percent fixed for the lifetime of the loan. There is a 4.228 percent loan origination fee that is deducted at disbursement. 

For students who previously borrowed a federal loan prior to July 1, 2026, at Michigan Law, Graduate Plus Loans will be available under a legacy provision. Students who did not borrow a federal loan at Michigan Law prior to July 1, 2026, or who otherwise do not qualify for a Graduate Plus Loan, may consider a private loan as an alternative (see below). We recommend that you maximize your federal loan eligibility before considering a private loan.

If you choose to borrow a Grad PLUS loan a separate application is required. Please be sure to complete Michigan Law’s Grad PLUS loan application, and not the one on the StudentAid.gov website. Since credit approvals expire, the earliest you should apply is July 1, and you should allow at least 2-3 weeks for the loan to be processed and it will disburse right before the first day of classes.

Michigan Law’s Grad PLUS loan application

Private student loans are offered through a variety of banks and other lenders. These loans may have fixed or variable interest rates, and to qualify for the best rates, may require that the borrower have excellent credit and/or have a cosigner. Origination fees, interest rates, and repayment terms vary by lender and are often based on the borrower’s credit history. Private loans are also ineligible for the government’s income-driven repayment (IDR) plans and public service loan forgiveness (PSLF). You can compare private loan options via the Michigan Law FastChoice private lender website.

If you choose to borrow a private loan, a separate application is required. You will apply directly with the lender of your choice, and will need to follow their application instructions. 

Before you apply, please see Michigan Law’s suggested timeline:

• ASAP: Review your credit report and create a plan to maintain or improve your score.
  • Credit scores below ≈670 are likely to need an improvement plan or a co-signer.
  • Meet with a financial advisor if you’re not sure how to improve your credit. If you are in need of a financial advisor, AccessLex is one option, which provides free services to students.
• April / May: Apply for pre-approvals to ensure you qualify for a private loan for the upcoming academic year.
• July: Submit actual loan application after you receive your official financial aid notice, which will provide your “Alternative Loan Eligibility” amount.

Michigan Law FastChoice

AccessLex

Starting in 2023-2024, students who are recipients of Deferred Action for Childhood Arrivals (DACA) will also have the ability to access private loan funding. Review additional program details and qualifications.

 Program Details and Qualifications

If you will need to purchase a computer for law school, we can increase your cost of attendance to allow for more loan borrowing. Please submit documentation to us detailing the cost of the computer and printer you have purchased. This computer may not be purchased more than 90 days before the first day of classes and can only be requested once during your three years. A detailed computer loan FAQ is available for further information.

Computer Loan FAQ