Best Graduate Student Loans
Graduate student loans are offered by the federal government, as well as private lenders. Compare options from both below.

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Graduate student loans are financing options designed to help students pay for graduate school. Since federal student loans offer better borrower protections, you should always consider them before taking out private student loans.
This guide to graduate student loans will help you understand what kind of federal loans you can obtain, as well as which private loans to consider in case you max out your federal borrowing limits.
In this guide:
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Federal Graduate Student Loans
To become eligible for federal loans, you need to fill out the Free Application for Federal Student Aid (FAFSA). The FAFSA is required to gain access to loans from the Department of Education, as well as to obtain many types of grants and scholarships provided by the government or your school.
Grad students have a choice of two different types of federal student loans to help cover graduate school costs. These are:
Direct Unsubsidized Loans
While undergrads can obtain Direct Subsidized and Direct Unsubsidized Loans, grad students are restricted only to Unsubsidized Loans. This means the government does not pay interest on the loans while you’re in school or in deferment after graduating.
Direct Unsubsidized Loans (a type of Stafford Loan) still have favorable loan terms, including a low fixed interest rate. Before you borrow, you need to understand all of these key loan terms:
- Graduate students can borrow a maximum of $20,500 per year in Unsubsidized Loans. And the maximum aggregate limit for both subsidized and unsubsidized loans, including for undergrad and grad loans, is $138,500.
- To be eligible, grad students must be enrolled at least half-time in an academic program that confers a degree or certification and that participates in the Direct Loan Program. You also must complete the FAFSA.
- The current interest rate on these loans is 6.6% for graduate or professional students.
- The current origination fee on these loans is 1.062%.
Your credit score is not a factor when your eligibility for Direct Unsubsidized Loans is determined.
Grad PLUS Loans
Grad PLUS Loans—which are a part of the Direct PLUS Loan program—are another option for students seeking federal loans. However, they have different rules and eligibility requirements than Direct Loans.
- The maximum Grad PLUS loan amount you can borrow equals the cost of attendance at your graduate or professional program minus any other sources of financial aid, such as Direct Unsubsidized Loans, scholarships, and grants.
- To be eligible, graduate or professional students must be enrolled at least half time in a program that will lead to a graduate degree, professional degree, or certificate. You also can’t have an adverse credit history, and you must meet the general requirements associated with getting financial aid.
- The current interest rate for new Direct PLUS loans is 7.6%.
- The current origination fee on new loans is 4.248%.
It’s important to note that you cannot qualify for Direct PLUS loans with bad credit, unlike Unsubsidized Loans. The interest rate and origination fees are also fixed, as with Unsubsidized Loans, but the relatively high rate and fees mean that sometimes private student loans are more affordable.
Federal Graduate Student Loan Benefits and Drawbacks
There are both advantages and disadvantages to funding your graduate school with federal student loans.
Benefits of Federal Student Loans
- Interest rates are fixed: You don’t have to worry about shopping around with lots of different lenders. You just fill out the FAFSA and are offered loans at a set rate determined by the government.
- You have flexibility in repayment options: You can choose from many different payment plans after graduation, including some income-driven plans.
- You enjoy many borrower protections: You may be eligible for Public Service Loan Forgiveness with federal loans. You also have more options for putting your loans into deferment or forbearance for longer periods of time if you face financial hardship.
Drawbacks of Federal Student Loans
- You may be limited in the amount you can borrow. If you’re seeking only Direct Subsidized Loans, there are strict limits, and you may not be able to borrow enough to fund your education.
- You have to pay origination fees. Many private lenders offer private loans that don’t have this up-front fee to pay.
- You have no choice in loan servicers. You’ll be assigned a servicer by the Department of Education. With private loans, on the other hand, you can shop around and find a lender that has a good track record of providing top-notch customer service.
Federal Graduate School Loan Repayment
There are many federal student loan repayment plans, including the following:
- Standard repayment plan: Loans are repaid over 10 years on a fixed repayment schedule.
- Graduated repayment plan: Loans are repaid over 10 years (or up to 30 years if you consolidate your loans), and payments increase every two years.
- Extended repayment plan: You can either chose from a fixed or graduated repayment schedule, and your loans are repaid over 25 years.
- REPAYE: Payments are capped at 10% of discretionary income. Any outstanding balance on your loans is forgiven after 25 years of payments if you took out loans for grad school.
- PAYE: Monthly payments are capped at 10% of discretionary income, but the payment can’t exceed the amount you’d have paid under the standard repayment schedule. Any outstanding balance on your loans is forgiven after 20 years of payments.
- Income-Based Repayment: Payments are capped at either 10% or 15% of monthly income, and any outstanding balance on your loans is forgiven after 25 years.
- Income Contingent Repayment: Monthly payments equal the lesser of 20% of discretionary income or the amount you’d pay on a fixed payment schedule over 12 years. Any outstanding loan balance is forgiven after 25 years.
- Income-Sensitive Repayment: Monthly payment is based on annual income, but your loan is repaid in 10 years.
Many of these repayment plans have specific qualifying requirements you will need to meet, so be sure to talk with your loan servicer to choose the right one.
Best Private Graduate Student Loans
Unlike federal student loans, private student loans don’t just come from one source, and they don’t have one fixed interest rate.
There are multiple lenders offering private student loans to grad students, including banks, credit unions, and online lenders. There is a lot of variation in interest rates and terms, so you should shop around carefully to make sure you’ve found the best lender for your needs.
Here are our picks for the best graduate student loans from our partners.
College Ave
Fixed Rates
4.39% – 11.98%
Variable Rates
1.79% – 10.97%
Loan Amounts
$1,000 – 100% of school-certified cost of attendance
LendEDU Rating: 5/5
College Ave is an online student lender offering many different products with low interest rates. The company’s graduate school loans are available to students in a wide variety of academic disciplines. Here’s some important information about College Ave’s graduate school loans:
- Fixed APR: 4.44% – 11.68%
- Variable APR: 1.79% – 10.97%
- Loan Amounts: $1,000 – 100% of school-certified cost of attendance
- Repayment Terms: 5, 8, 10, or 15 years
- In-school repayment options: Options include deferment, monthly interest payments, monthly $25 payments, and full payments.
- Grace Period: 6 months
- Cosigner Release: After 24 consecutive on-time payments
- Unique benefits: No application, origination, prepayment, or late payment fees.
Earnest
Fixed Rates
As low as 4.39%
Variable Rates
As low as 1.24%
Loan Amounts
$1,000 – 100% of school-certified cost of attendance
LendEDU Rating: 4.8/5
Earnest is an online lender offering personal and student loans, as well as student loan refinancing. The company has a loan product for students attending graduate school (with separate products for business, medical, and law school). Learn more about their grad school loans here:
- Fixed APR: Rates start at 4.39%
- Variable APR: Rates start at 2.74%
- Loan Amounts: $1,000 – 100% of school-certified cost of attendance
- Soft-Credit Check: You can see your rate with a soft credit check. Getting a loan takes a hard credit check.
- Repayment Terms: 5, 7, 10, 12, or 15 years
- In-school repayment options: Options include deferment, $25 monthly payments, monthly interest payments, and full payments.
- Grace Period: 9 months
- Cosigner Release: Earnest does not have any cosigner release options, but borrowers who are eligible to refinance can take out the new loan without a cosigner.
- Unique benefits: You can skip one payment per year.
Citizens Bank
Fixed Rates
4.64% – 11.49%
Variable Rates
1.42% – 11.00%
Loan Amounts
$1,000 – $150,000
LendEDU Rating: 4.4/5
Citizens Bank is one of the country’s largest banks and also serves as an online lender. Their graduate school loans serve students pursuing post-secondary education in a number of disciplines. Here is some more information about these loans:
- Fixed APR: 4.64% – 11.35%
- Variable APR: 1.97% – 9.29%
- Loan Amounts: $1,000 – $150,000
- Soft-Credit Check: You can get a rate quote with a soft credit check. If you apply for multi-year approval, you can take out loans after your first year without a hard credit check.
- Repayment Terms: 5, 10, or 15 years
- In-school repayment options: Options include deferment, interest-only payments, and full payments.
- Grace Period: 6 months
- Cosigner Release: After 36 consecutive on-time payments
- Unique benefits: 0.25% autopay rate reduction, 0.25% loyalty rate reduction
LendKey
Fixed Rates
4.74% – 11.85%
Variable Rates
1.25% – 9.44%
Loan Amounts
$1,000 – $160,000
LendEDU Rating: 4/5
LendKey is an online platform designed to connect banks and credit unions with interest borrowers. LendKey offers a single private loan product to both graduate students and undergraduates. For more information on this loan product, see below.
- Fixed APR: 4.86% – 10.49%
- Variable APR: 3.84% – 10.56%
- Loan Amounts: $1,000 – $160,000
- Soft Credit Check: You can get a rate quote with a soft credit check.
- Repayment Terms: 5 years
- In-school Repayment Options: Options include $25 per month or a monthly interest payment.
- Grace Period: 6 months
- Cosigner Release: After 12 – 36 consecutive on-time payments
- Unique Benefits: No prepayment penalties
Ascent
Fixed Rates
6.64% – 11.92%
Variable Rates
5.71% – 11.17%
Loan Amounts
$1,000 – $200,000
LendEDU Rating: 4/5
Ascent is an online student lender. The company offers five different graduate student loans. Each of these loans requires a credit check but can be applied for with or without a cosigner. Here is some information about both products:
- Fixed APR: 5.88% – 15.00%
- Variable APR: 5.20% – 14.18%
- Loan Amounts: $1,000 – $200,000
- Soft Credit Check: You can qualify and see your rate with a soft credit check.
- Repayment Terms: 5, 10, or 15 years
- In-school Repayment Options: Your options include monthly interest payments, monthly payments of $25, or deferred repayment.
- Grace Period: 9 months
- Unique Benefits: The company offers borrowers 1% cash back upon graduation.
Specific Graduate Student Loans
If you are looking for a specific graduate student loan, you can check out one of the pages below to compare options.
- Law School Loans
- Bar Study Loans
- PhD Student Loans
- Medical School Loans
- Dental School Loans
- MBA Student Loans
- PA School Loans
- Pharmacy School Loans
>> Read More: Types of student loans
Private Graduate Student Loan Benefits and Drawbacks
There are both pros and cons to consider when using private student loans.
Benefits of Private Student Loans
- No origination fees: Unlike Direct Loans and PLUS loans, many private lenders charge no origination fees.
- Flexibility in loan terms: You can choose from among many different lenders, each offering different loan terms.
- You may be able to borrow more than with federal loans: While there are annual and aggregate limits on Direct Loans, many private lenders allow you to borrow larger sums, up to the school-certified costs of attending your program.
Drawbacks of Private Student Loans
- You don’t have as many borrower protections: You can only put loans into forbearance with some private lenders, and only for a much more limited time period than with federal loans. You also don’t have access to programs such as Public Service Loan Forgiveness.
- Not all lenders are created equal: It’s much more important to shop around when choosing a private student lender, as some lenders offer much more favorable terms than others.
- You’re locked into a repayment schedule: Once you’ve taken out a private loan, you can’t change the repayment terms you agreed to unless you refinance the loan.
Private Graduate School Loan Repayment
When you repay private student loans, your repayment terms will vary by lender. Many private lenders offer five-, 10-, or 15- year repayment terms. Your payments are always structured to allow you to pay off your loan by the end of the loan term. There are no options for income-based repayment or loan forgiveness.
And while you can change your payment plan with federal student loans, you can’t just switch payment plans or change your loan term once you’ve taken out a loan. If you want to change the way you pay back private loans, you would have to refinance your loan.
You Have Many Options for Grad School Loans
As you can see, you have multiple options for grad school loans, each with its own pros and cons. Be sure to understand qualifying requirements and loan terms before you decide how to borrow — and know how you’ll pay back your loan to ensure it is affordable on your salary after graduation.
Author: Christy Rakoczy
