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FINANCIAL AID FOR LAW SCHOOL
There are three general kinds of financial aid for law school:
The law schools themselves provide over $100 million of their own funds to enable students to attend. Institutions receive this money from several sources, including tuition, fees, government grants and alumni donations. Outside agencies, clubs and fraternal organizations also offer financial support to law students. Many award scholarships and grants, some need-based, some merit-based and some a combination of the two. Many of these awards have an ethnic affiliation and/or are targeted toward students of color. Private lenders have become essential partners in helping to finance law school; if you need help in identifying private lenders, call individual law schools and ask for recommendations of lenders with whom they have positive relationships.
Although many schools have their own financial aid forms, for the most part, students may apply for need-based financial aid using just one need-analysis form, plus a separate application for loan programs. This is true regardless of how many law schools are being considered since several schools can be designated on the need-analysis form. The most commonly used loan programs for law school follow:
Perkins Loan: A federally funded and need-based low interest loan awarded by the law school.
Stafford Loan: Loans made by an outside lender that are insured by a guaranty agency and reinsured by the federal government.
Supplemental Loans for Students (SLS): Additional loans not based on need, but, like Stafford Loans, guaranteed by the federal government. To apply, you must complete a federally approved need-analysis form, as well as a SLS application. The government requires SLS borrowers to apply for a Stafford Loan before applying for a SLS.
PLUS Loan: Non-need based loans for parents of dependent students. These are guaranteed by the federal government and are available from banks, savings and loans, and credit unions.
Law Access Loan (LAL): Non-need based loan available from Law Services and sponsored by the Law School Admission Council. Law students who are considered credit-ready, that is, have never defaulted on a loan, declared bankruptcy or are already debt overburdened, and have a satisfactory credit history may borrow through this loan. LAL may be used to offset the family contribution, and students are expected to apply first for a SLS and a Stafford Loan.
Most law schools have limited financial aid available, so unless you have savings or parental support, plan to finance your law school education through loans. Most law students today graduate with $60,000-$100,000 of law school debt, while national mid-range annual salary for lawyers is $78,170. In order to pay back loans in a timely manner and avoid huge interest charges, you have to establish a budget now.
You apply for financial aid as you do at Trinity, using the specific form or forms that each law school requires. In most cases, financial and tax information from your parents will be required.
Loan forgiveness programs do not exist at all law schools, but many have them. The programs "forgive" part or all of your law school loan debt depending on the type of work you do after law school, your salary, and your household/spouse income and obligations. The programs began in an effort to make it possible for graduates to pursue public interest employment despite their law school debt.
Most important in evaluating your financing options is to keep the cost of each school in mind. Attending a private school in a large, expensive city, even with a substantial scholarship, can end up being more expensive than attending a top-ranked public law school in a city or town with cheaper housing costs. Also factor into the equation whether or not you will give up job options or alumni connections by choosing a cheaper school.
Don't wait for your letter of acceptance to apply for financial aid, it will be too late.