Student Loan Resources

In order to be eligible for federal student aid, a student must maintain satisfactory academic progress. Dickinson Law measures academic progress on an annual basis each summer prior to the next academic year. First-year students are considered to be making progress during their first academic year. All students failing to make progress based on the Law School’s Academic Standing Rules will be notified by the Financial Aid Office via letter by August 1. Any aid processed for the subsequent year will be canceled.

In accordance with ABA Standard 507, Dickinson Law is pleased to provide resources for interpreting financial aid eligibility and understanding student loan debt. All resources listed below are free to prospective and current students and recent graduates.

Prospective and current students are invited to connect with Susan Bogart, Director of Financial Aid, for financial aid and student loan support. As well, any student who borrows an educational loan through the federal loan programs will have access to entrance and exit counseling through Federal Student Aid, facilitated by Penn State University’s Office of Student Aid

AccessLex Resources:

AccessLex Student Loan Calculator
- These customizable calculators are for aspiring students, current students, and graduates.
AccessConnex by AccessLex Student Loan Helpline
- Schedule an appointment for individual loan counseling, budgeting assistance, financial planning and more with an Accredited Financial Counselor.
The Road to Zero: A Strategic Approach to Student Loan Repayment
- This ebook walks you through loan repayment management.
Live Webinars
- Choose from a variety of events presented by Accredited Financial Counselors and designed to facilitate your financial success.

Federal and Institutional Resources:

Federal Student Aid — Overview of Loan Programs
- Learn about the types of loans available to professional students, and what you should consider before borrowing.
Federal Student Aid — Understanding Student Loan Repayment
- This interactive page offers repayment information tailored to your personal borrowing.
Penn State Student Aid — Federal Direct Loans
- This page includes information on federal direct loans and loan repayment.
Penn State Student Aid — Comparing Federal and Private Student Loans
- Review a comprehensive comparison chart to help you understand your options.

Students borrowing their first law school loan after July 1, 2026 can borrow up to $50,000 through the Federal Direct Unsubsidized Loan program. Students who have borrowed federal loans at Penn State Dickinson Law prior to July 1, 2026 can borrow up to $20,500 per year through the Federal Direct Unsubsidized Loan program. Payments on the principal of the Direct Unsubsidized Loan can be deferred while the student is enrolled at least half time.

The Federal Direct Unsubsidized Stafford loan has a variable fixed interest rate based on the U.S. 10-Year Treasury Note Index. The Federal Direct Unsubsidized Stafford Loan for graduate students carries a rate of the 10-year index plus 3.60%. For loans that first disburse from July 1, 2025 through June 30, 2026 the interest rate is 7.94%. The Direct Unsubsidized Loan requires an origination fee — a fee charged by a lender on entering into a loan agreement to cover the cost of processing the loan. The fee will be deducted from the gross amount of the loan borrowed. Borrowers accepting a Direct Unsubsidized Loan should expect to receive 1.057% less money than the amount they accept in LionPATH.

While rates will vary from year to year, the rate assigned to the loan at the time of disbursement will be the fixed rate on that loan for the life of the loan. The Federal Direct Unsubsidized Stafford Loan for graduate students will never have a rate higher than 9.50%.

The Federal Direct PLUS Loan is a federal loan program. Students who have borrowed a federal student loan at Penn State Dickinson Law can borrow up to the school-determined cost of attendance minus other financial aid each year through the PLUS Loan program. The Federal Direct PLUS Loan for Graduate Students it not available to new borrowers at Penn State Dickinson Law after July 1, 2026.

Payments on the principal of the PLUS Loan can be deferred while the student is enrolled at least half time. Unlike the Direct Loan program, the PLUS Loan does not have a grace period after the student stops attending school. It is likely, however, that the student will qualify for a deferment or forbearance to temporarily relieve them of payment responsibility during bar study and prior to the beginning of employment. Students should contact their servicer for additional information.

The Direct PLUS Loan has a variable fixed interest rate based on the U.S. 10-Year Treasury Note Index. The Federal PLUS Loan for Graduate Students carries a rate of the 10-year index plus 4.60%. For loans that first disburse from July 1, 2025 through June 30, 2026, the interest rate is 8.94%.

While rates will vary from year to year, the rate assigned to the loan at the time of disbursement will be the fixed rate on that loan for the life of that loan. The Grad PLUS Loan will never have a rate higher than 10.50%.

The Graduate PLUS Loan requires an origination fee – a fee charged by a lender on entering into a loan agreement to cover the cost of processing the loan. The fee will be deducted from the gross amount of the loan borrowed. Borrowers applying for a Graduate PLUS Loan should expect to receive 4.228% less money than they request on the application or approve in LionPATH.

The Graduate PLUS Loan requires a credit history review to verify a potential borrower does not have an adverse credit history. The Grad PLUS Loan interest rate and origination fee are not determined by an individual’s credit score or history – they are fixed for all borrowers. A borrower with adverse credit will not be able to receive a PLUS Loan without a credit-worthy endorser. Adverse credit is defined as having one or more of the following:

Currently 90 days or more delinquent on repayment of any debt
Have had debt discharged in bankruptcy during the past 5 years
Evidence of a default, foreclosure, tax lien, repossession, wage garnishment, or write-off of a Title IV (federal student aid) debt during the past 5 years
Unpaid collection accounts.

How to Apply for a Federal Direct Grad PLUS Loan

Visit the Federal Student Aid website and select the Grants and Loans tab.
Under the Get a Loan heading, select PLUS Loans: Graduate PLUS and Parent PLUS.
Click on "Learn More" next to "I am a Graduate or Professional Student."
Log in using your FSA ID.
Complete the form, being sure to select Pennsylvania State University as your school.

If you need more loan assistance than the Federal Stafford Loan offers and the federal PLUS Loan for Graduate Students is not available to you, you may choose to apply for a private educational loan. Approval of private loans is dependent upon the applicant's satisfactory credit history.

When selecting a private loan, you should make sure you are choosing a loan that truly meets your need. Consider working from this list of questions when researching lenders.

Please note that terms offered by individual lenders are subject to change. Please check directly with the lender to verify details.

How to Establish and Maintain Good Credit as a Law Student

Building and maintaining good credit is essential for financial stability, especially for law students who may rely on loans and credit during their studies. Good credit is necessary to borrow private student loans and can help you secure favorable interest rates, rent apartments, and even impact future employment opportunities.

How to Start Building Credit

If you don’t have one, open a credit card. Choose a card with no annual fee and a low credit limit to start building credit responsibly. Use the card with regularity and pay it in full every month.
Pay all bills on time. Timely payments on credit cards, utilities, and loans are the most important factor in your credit score.
Keep your credit utilization low. Aim to use less than 30% of your available credit limit. Utilization below 30% will increase your credit score.
Monitor your credit report. Your credit report is a history of all the credit you have used and its current status. Use free credit reports to check your report for errors (which do happen!) and track your progress as you build your credit foundation.
Monitor Your Credit Score: Your credit score uses the information on your credit report to provide a numeric indication of your ability to repay money you borrow. Many banks, credit unions, and credit card providers offer this information to their customers for free when you log into your account. Alternatively, you can use Credit Karma to access that information (and a lot of other useful information!).

Smart Habits to Keep Your Credit Strong

Avoid opening too many accounts. Each credit application results in a hard inquiry on your credit and can slightly lower your score.
Don’t close old accounts. Length of credit history matters, so keep older accounts open when possible. The longer your credit history, the higher your score will climb.
Budget wisely. Ensure you can pay off credit card balances in full each month to avoid interest and debt accumulation.

Building credit from scratch can feel challenging. It requires patience, discipline, and consistent financial habits. But establishing a solid credit history early is essential for long-term financial health. Good credit opens doors to better loan terms, housing opportunities, and even career prospects. By starting small, paying bills on time, and monitoring your progress, you lay the foundation for financial stability that will benefit you well beyond law school.

The financial aid office expects that the majority of students will benefit from choosing the Grad PLUS Loan, but there may still be valid reasons to choose a private loan. There is no single answer for all students as to which program is best, but the following information should help you to make an educated choice.

You may prefer the PLUS Loan if:

You like the certainty that comes with a fixed interest rate.
Your credit is less than perfect. Your cost will likely be lower with PLUS if your credit history is not excellent.
You like the protection of the greater deferment and forbearance options.
You anticipate a career in public service.
You want to have several flexible repayment options.

You may prefer a private loan if:

You are comfortable with the possibility that the variable interest rate may rise higher than the rate on the PLUS Loan.
You have top-tier credit. At this time borrowers with excellent credit may receive a lower interest rate on a private loan, but this is subject to change as the variable interest rates fluctuate.
You believe that there is very little possibility that you will use the deferment or forbearance options.
You plan to borrow this money only for a very short time.

How Grad PLUS differs from private loans:

	Federal Direct Grad PLUS	Private Loans
Interest Rate	The fixed interest rate on Direct Graduate PLUS Loans that disburse between July 1, 2025 and June 30, 2026 is 8.94%. Updated interest rates are typically announced in summer.	Private loans often have variable interest rates. Rate is often based on the credit rating of the borrower. Current rates range from about 4% to 12% or higher.
Origination Fee	An origination fee will be deducted from your disbursements. This origination fee is 4.228%.	Most private loans with up-front fees add that amount to the principle, but it varies from lender to lender.
Credit Requirements	The credit requirements are based on federal standards. Credit scoring and debt to income ratio are not used. This is a less stringent credit check than you find with private loans.	Borrowers must pass a comprehensive credit review process.
Deferment/Forbearance Options	Offers the same deferment and forbearance options as the Direct Unsubsidized Loan. Can be deferred indefinitely while borrower is enrolled in school at least half time.	Deferment and forbearance options may be available but vary widely and are less flexible.
Grace Period	The PLUS Loan does not offer a grace period. It will go into repayment immediately after you stop attending school at least half time. You may have to request a deferment or forbearance while you study for the bar exam.	Most private loans offer a 6 or 9 month grace period after you stop attending school at least half time before repayment begins.
Death/Disability	The PLUS loan can be discharged if the borrower should die or become permanently disabled.	Private loans may not be insured against death or disability.
Repayment Options	The standard repayment term is 10 years, but can be extended for up to 25 years dependent upon the amount borrowed. PLUS Loans are also eligible for an Income Based Repayment option.	Repayment terms range from 10 to 25 years. There will likely not be an income-based repayment option.
Loan Consolidation	The PLUS Loan can be included in a federal consolidation with a fixed interest rate based on the interest rates of the loans being included.	Many private lenders offer a consolidation option, but the interest rates will likely be variable.
Loan Forgiveness	The PLUS Loan is eligible for the federal loan forgiveness program for public service employees.	Private loans are not eligible for the federal loan forgiveness program.

To encourage and enable Penn State Dickinson Law graduates to pursue careers in public interest law, the Law School has established a Loan Repayment and Assistance Program (LRAP) that can assist qualified graduates working in public interest law with their loan repayment obligations.

Penn State Dickinson Law implemented its LRAP in the spring of 2003, with the goal of encouraging careers in public interest law by assisting law graduates with their educational loan repayment obligations. Public interest employment is defined as work for a not-for-profit organization that qualifies for tax exemption under IRS Code §§ 501(c)(3) and work that provides legal assistance to underserved people or interests. Prospective applicants are encouraged to pursue loan assistance funding through IOLTA, their employer, or other entities before applying to Penn State Dickinson Law’s program. Applicants and participants who receive partial funding through another program are required to report such funding sources to the committee in their application or recertification materials.

Who May Apply?

Graduates of the Penn State Dickinson Law class of 2023 may apply through the 2026 selection cycle.

Graduates of the Penn State Dickinson Law class of 2024 may apply through the 2027 selection cycle.

Graduates of the Penn State Dickinson Law class of 2025 may apply through the 2028 selection cycle.

Graduates of the Penn State Dickinson Law class of 2026 may apply during the 2027, 2028, or 2029 selection cycles. Because some program application requirements cannot be met before committee review is completed, 2026 graduates should not apply during the 2026 selection cycle.

2026 Selection Cycle

Timeline

Interested applicants must read the LRAP Guidelines in full to understand the program’s eligibility requirements and responsibilities of participants.
Applications should be postmarked by May 15, 2026. We cannot accept applications electronically or by fax due to data privacy concerns.
Committee decisions will be released to individual applicants by June 30, 2026.

Resources for New Applicants

Notes for Selected Participants

Annual recertification is required and will be due by July 1 each year.
Participants must remain in qualifying Public Interest employment for five (5) years. Otherwise, the funds they have received from LRAP must be repaid according to the program’s repayment schedule.

Interested individuals may contact program administrator Susan Bogart with questions.