How Law School Financial Aid Works: What to Know

Law school tuition can seem outlandishly expensive. Like the cost of higher education across the board, it has outpaced the rate of inflation for decades. However, the “sticker price” of law school can be deceiving.

Applicants commonly receive financial aid in the form of grants and loans, some of the latter with favorable terms or conditions for loan forgiveness. Furthermore, law schools award many applicants merit-based aid, ranging from discounted tuition to a free ride.

Applicants wary of the cost of law school might consider four sources of financial aid:

— Merit-based aid

— Need-based aid

— Named scholarships

— Outside sources of funding

Merit-Based Aid

To maintain their reputation for prestige and selectivity, law schools use financial aid to entice applicants with highly competitive profiles to accept admission. This means that taking concrete steps to boost your candidacy, like raising your LSAT score, may also trim your tuition.

[Read: How to Get a Perfect Score on the LSAT]

Typically, applicants are automatically considered for merit scholarships and don’t have to apply separately. Some schools ask admitted applicants to complete a form.

Merit scholarships may be conditional, meaning that recipients have to maintain a certain GPA to keep the scholarship. Before accepting a conditional scholarship, research the school’s grading curve and the percentage of recipients who maintain the scholarship, which law schools are obligated to disclose.

Notably, merit aid is negotiable. Some schools may ask you to fill out a form for reconsideration of financial aid, while others accept such requests by email. Usually you’d make such a request before making a deposit on tuition, but it is possible to negotiate even after making a nonbinding deposit.

Law school admissions officers reluctantly tolerate scholarship negotiations, but they are turned off by applicants who treat it like a game. Thus, requests for reconsideration should be gracious and considerate.

Don’t try to haggle and don’t “fish” for offers you have no interest in taking. Remember that you are weighing an offer for a life-changing professional program of study, not bargaining down the price of a used car.

Try to make your strongest case up front, ideally based on a lower cost of attendance at a comparable law school. Explain why the choice is difficult, discussing why the law school is your top choice.

[Read: Do the Benefits of Law School Outweigh the Price? A Look at the Numbers]

Need-Based Aid

Applicants who seek public financial assistance should complete the FAFSA, just as they may have done to pay for college. The federal government treats law school students as financially independent of their parents for the purposes of determining aid eligibility, just like other graduate students.

The 2025 One Big Beautiful Bill Act capped federal loans for law students to $50,000 annually and $200,000 in aggregate, with a 30-year repayment plan. This change, which takes effect in July 2026, may push more students into private loans.

Law schools may also offer some form of financial aid based solely on an applicant’s ability to pay for law school — the student’s demonstrated financial need — through a mix of loans and grants. A few schools, like Harvard Law School in Massachusetts, Stanford Law School in California and Yale Law School in Connecticut, award financial aid only on the basis of demonstrated need.

Law schools differ in the financial information they request about an applicant’s parents or family, and in how they weight various factors in calculating final aid. Interested applicants should ask to discuss the specifics of their situation with a financial aid officer at a given school.

Generally, need-based financial assistance for law school takes the form of loans rather than grants because law students are assumed to be older and have easier access to educational loans due to their postgraduate career prospects.

Law school graduates planning to pursue public interest jobs should note that federal, state and school loan forgiveness programs may reduce their debt burden, regardless of their financial status before law school. The American Bar Association maintains a list of state repayment programs.

Named Scholarships

Law schools may have dedicated funding sources for applicants who meet certain criteria, such as a commitment to public service or a Native American or Indigenous affiliation.

[Read: 13 Ways to Get Ready to Pay for Law School]

In some cases, applicants must apply for such scholarships directly, often with an essay or statement of purpose. In other cases, admissions officers might reach out to relevant applicants individually to set up an interview or request more information.

Named scholarships can be sweeping, including benefits like full tuition reimbursement, housing stipends and opportunities for faculty mentorship.

Outside Sources of Funding

Finally, applicants might consider applying for scholarships from independent organizations like the nonprofit AccessLex Institute and American Bar Association. Law students may be eligible for academic scholarships provided by various foundations and private firms.

The Law School Admission Council maintains a list of third-party scholarships, and law school financial aid offices may also be able to provide suggestions.

Inevitably, cost is an important factor for many applicants in choosing a law school. The uncertainty of financial aid awards is one more reason why applicants should apply to a wide range of law schools.

More from U.S. News

7 Things I Wish I Knew When I Applied to Law School

How to Minimize Law School Debt

7 Deciding Factors in Law School Admissions

How Law School Financial Aid Works: What to Know originally appeared on usnews.com

Update 02/09/26: This story was published at an earlier date and has been updated with new information.

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