Getting into law school is an incredible accomplishment, but celebrate too soon and that elation turns to anxiety with the very first look at the price tag. Costs start creeping into the six-figures with tuition, housing, books, clinic fees, and bar prep. In 2025, lenders offered 58% of law school loan funding to students because of this, meaning many students now rely on law school student loans to bridge the gaps federal aid can’t fill. However, before any contracts are signed, it is important to take a look at the behavior of these loans − and how they impact your future objectives.
Determine What Your Individual Risk is
Student loans for law school: it’s not just math, it’s risk management. How much are you able to embrace uncertainty? You can either operate with variable rates (that might increase), or work with fixed one, which do you prefer? The question the Payton family is wrestling with: Are you signing up for debt based on an assumption that you will get a high-paying job, or do you want some kind of safety net against an otherwise diverging path?
These questions will help determine what kind of law school undergraduate student loans you should consider applying for.
See also: How To Fund Your Education So You Can Gain New Skills
View the Loan Through a Lens of “Your Career”
Not every law school graduate will earn a similar amount of money. Some go corporate and some work for nonprofits or the government. Others obtain clerkships, or they spend time studying for the bar.
- The loan you should choose is according to your future career:
- For public service, the flexibility is worth more than the interest rate.
- If you hit an aimed for a high paying firm, then a lower rate might be a priority.
- When in doubt, get a loan with solid safety features.
When the borrowing fits into your realistic future (that is, future, not the dream one) it will never be stressful.
Focus on Repayment Structure, not Just the Rate
The interest number is all that many students can see. However, they are mostly driven by features of repayment, which may affect your financial comfort.
Ask lenders the right questions:
- Is it possible to suspend payments if I am in a clerkship?
- Bar study forbearance: Do you provide bar study forbearance?
- But what if I lose my job?
- Is there a prepayment penalty?
When life deals its hardest blows, those features are important.
Borrow in Smaller, Intentional Steps
Do not take only one big loan during the year; divide it into semesters. It can help you monitor your spending so you don’t borrow too much and modify it as your actual expenses clarify.
In the event that a scholarship or part-time work opportunity pops up later on, keeping your borrowing non-committal means you’ll have greater control of the situation.
Build Your Repayment Mindset Early
Although you still have three semesters to go before you have to pay up, it never hurts to build a greater awareness right away while there are huge wins to be had. Using the starting salary that you’d expect in your field, estimate what your regular monthly payment will look like. If the figures feel too close to the limit, take another look at the borrowing amount or search around for lenders with staggered re-payments.
Final Thoughts
If you know what to expect, law school student loans can be a gateway to a lucrative career. See past the approval, the risk appetite is more than just high, pick the loans that fit where you plan to go in life, but pay attention to how easy they are to pay back over what you think the payment ever will be. That way you’re not worried out of your mind by your finances as you enter law school, you’re aware of them thus ensuring a great head start both academically and professionally.
