A new barrier to law school may emerge after applicants have already secured a coveted acceptance: finding a way to pay for their education.

Changes to federal graduate student lending have raised questions about whether some prospective law students will be able to finance the full cost of a degree. Sudha Setty, president and CEO of the Law School Admission Council, says the effects on students’ ability to pay may take several years to become clear.

The new rules ended Grad PLUS loans for new borrowers starting July 1, 2026. JD students borrowing for the first time after that date can access up to $50,000 a year in federal loans, subject to a $200,000 lifetime cap. Those who need additional financing may have to seek private loans, where eligibility depends on credit history.

In an interview with the ABA Journal, Setty said concerns about the changes remain anecdotal for now, but she sees potential problems ahead. Some students, she said, may not understand their complete financing picture until they have moved through the application, admission and matriculation process.

Many prospective students know the price of law school without having fully examined what paying for it would mean for them, Setty said. For some, the issue may be whether they can qualify for private credit at all.

“Maybe they’ve walked an unconventional path to get to law school, and their credit is not where they are able to access private loans,” she told the ABA Journal. “That brings a challenge, so they could end up deferring or wondering whether legal education is right for them.”

The distinction between federal and private borrowing also matters for graduates’ repayment options. Private loans are not eligible for Public Service Loan Forgiveness, a consideration for students who hope to pursue qualifying public service careers.

The lending changes do not necessarily mean every admitted student will face a financing gap. But for those whose costs exceed the federal borrowing limits, an offer of admission may not settle the question of whether law school is financially feasible.

Setty cautioned that it will take more time to assess the broader fallout. In the meantime, her warning points to a decision applicants may need to confront earlier: not only where they can get in, but how they will pay once they do.