12 Best Graduate Student Loans of July 2026
Federal grad PLUS loans have been eliminated for new borrowers, which may leave some grad students with a funding gap. Compare the best private graduate student loans to help cover what federal aid won't.
As of July 1, 2026, graduate students have fewer federal loan options and new borrowing caps, meaning federal loans may not cover the full cost of some graduate level programs. Private student loans can be a way to fill that gap, but borrowers should still max out federal loans first. Federal loans are likely the cheaper option and have benefits private graduate school loans usually lack.
Here are our picks for the best private loans for graduate school, as well as what you should know about borrowing for grad school in 2026.
» MORE: Other ways to pay for grad school
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Why trust NerdWallet
- 19 student loans lenders reviewed and rated by our team of experts.
- 10+ years of combined experience covering higher education and consumer lending.
- Objective, comprehensive star-rating system assessing 40 categories and more than 50 data points across student loan origination and student loan refinance.
- Governed by NerdWallet's strict guidelines for editorial integrity.
Best Graduate Student Loans
Lender | NerdWallet editorial rating | Min. credit score | Fixed APR | Variable APR | Learn more |
|---|---|---|---|---|---|
5.0 /5 | Mid-600s | 2.39-15.99% | 3.89-15.99% | Check Rate on College Ave's website | |
4.5 /5 | Mid-600s | 2.49-14.99% | 3.75-14.48% | Check Rate on Sallie Mae's website | |
5.0 /5 | Mid-600s | 2.98-14.83% | 4.39-15.86% | Check Rate on SoFi®'s website | |
4.5 /5 | 650 | 2.29-14.05% | 4.74-14.25% | Check Rate on Earnest's website | |
5.0 /5 | Low-Mid 600s | 2.69-16.86% | 3.65-16.06% | Check Rate on Ascent's website | |
5.0 /5 | Mid-600s | 3.35-17.17% | 3.65-17.38% | Check Rate on Monogram's website | |
5.0 /5 | Mid-600 | 2.39-15.58% | 3.50-15.65% | Read Review on NerdWallet | |
4.0 /5 | Does not disclose | 3.24-14.03% | 4.99-14.53% | Read Review on NerdWallet | |
4.0 /5 | Does not disclose | 18.06-23.07% | 17.07-21.94% | Read Review on NerdWallet | |
4.5 /5 | Mid-600s | 3.35-16.36% | 3.50-16.82% | Read Review on NerdWallet |
Our pick for
Transparency and repayment options
- Typical credit score of approved borrowers: Upper 700s.
- Minimum income: $35,000 for a borrower with no co-signer. No minimum for a borrower with a co-signer. No minimum for co-signers.
- Loan amounts: $1,000 up to cost of attendance.
- Has longer terms and grace periods to fit the needs of graduate school borrowers.
- Provides flexible repayment options, including automatic bi-weekly and greater-than-minimum payments.
- Offers a 0.25-percentage-point rate discount with automatic payments.
- Allows borrowers to pre-qualify with a soft credit check.
- No application, origination or prepayment fees.
- Charges a late payment fee, whereas some competitors do not.
- Doesn’t allow co-signer release until a borrower is at least halfway through their repayment term.
Our pick for
Range of graduate loan options
- Typical credit score of approved borrowers or co-signers: Does not disclose.
- Minimum income: Does not disclose.
- Loan amounts: $1,000 up to 100% of school-certified costs with no aggregate loan limit.
- Exceptions are the Bar Study Loan with a $15,000 maximum and a Residency and Relocation Loan with a $30,000 maximum.
- Has an extended term and grace period for certain fields, such as medical.
- Provides a dedicated customer support team for graduate and professional students.
- Offers a 0.25-percentage-point rate discount with automatic payments.
- Provides immediate loan decisions in most cases.
- Offers pre-qualification with a soft credit check.
- Does not offer bi-weekly payments via autopay.
- Immediate principal and interest payment while in school isn’t an option.
Our pick for
Affordability
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- Multiple in-school repayment options available, including interest-only and flat-fee, and deferred for undergrad and grad students.
- Does not offer bi-weekly payments via autopay.
Our pick for
Repeat borrowing
- Typical credit score of approved borrowers or co-signers: The median credit score for approved borrowers was 750 in 2025.
- Minimum income: No minimum income required.
- Loan amounts: $1,000 to $400,000.
- Borrowers who return to Earnest for a new private student loan can be eligible for a 0.25% rate reduction.
- 0.25% rate reduction for borrowers who sign up for automatic payments.
- No late fees.
- Option to skip one payment every 12 months for eligible borrowers.
- Every borrower gets a 9 month grace period.
- Does not offer renewable or multi-year approval options.
- Must be enrolled half-time or more.
Our pick for
Flexible repayment
- Typical credit score of approved borrowers or co-signers: Does not disclose.
- Minimum income: No minimum for borrowers with a co-signer. Co-signer minimum is $30,000 annually. Borrowers without a co-signer and at least two years of credit history must earn at least $30,000 and meet debt-to-income (DTI) requirements.
- Loan amounts: $2,001 up to $400,000 aggregate.
- Offers a 0.25-percentage-point rate discount with automatic payments for graduate loans.
- Allows borrowers to pre-qualify with a soft credit check.
- No application, origination, prepayment or late fees.
- 36-month grace period for medical and veterinary degrees.
- Progressive Repayment plan an option upon exiting grace period.
- Must be enrolled at least half-time.
Our pick for
Potential rate reduction
- Typical credit score of approved borrowers or co-signers: Not disclosed.
- Minimum income: No minimum income, but borrowers must show at least $1 in income.
- Loan amounts: $350,000 for graduate loans.
- No late fees.
- Prospective borrowers can see what interest rate they can get without a hard credit check.
- A .05% rate reduction for every six months of consecutive on-time principal and interest payments (up to 0.25%).
- Wide variety of loan repayment options, allowing flexibility for borrowers.
- A rate discount of 0.25% when borrowers pay via monthly electronic payments.
- Students in graduate certificate programs may apply for a Custom Choice student loan.
- Extra payments are not automatically applied to the principal.
- No dedicated advisor or banker for borrowers.
- Does not offer rehabilitation programs for defaulted borrowers.
- Typical credit score of approved borrowers or co-signers: Not disclosed.
- Minimum income: No minimum, but borrowers must demonstrate a positive income.
- Loan amounts: $1,000 minimum up to the school’s total certified cost of attendance (minus other aid) with a limit of $300,000 for undergraduate programs, $350,000 for most graduate programs and $500,000 for specialty programs such as medical and dental.
- No application fees, processing fees or late fees. -Available to students enrolled less than half time.
- Applicants can find their rate within minutes and without a hard credit check.
- Students in graduate certificate programs may apply for an Abe student loan
- Extra payments are not applied to the principal first.
- Typical credit score of approved borrowers or co-signers: Not disclosed.
- Minimum income: No minimum, but borrowers must demonstrate positive income.
- Loan amounts: $350,000 for graduate students.
- Offers a rate reduction for automatic payments and a rate reduction of 0.05% for every six months of on-time principal and interest payments (up to 0.25%).
- If a borrower pauses loan payments for all available 12 months of forbearance, they may be able to earn additional 3-month forbearance periods for up to another 12 months total.
- Variety of post-graduation payment options to fit borrower needs.
- 5, 7, 10, 15 and 20 year loan terms.
- Offers financial hardship forbearance.
- No late payment fees.
- Borrowers are not assigned a dedicated advisor or banker.
- Does not offer a rehabilitation program for defaulted borrowers.
- Does not automatically apply extra payments to the principal balance.
Our pick for
Multi-year approval
- Typical credit score of approved borrowers or co-signers: Does not disclose.
- Minimum income: Does not disclose.
- Loan amounts: From $1,000 to the cost of attendance minus other financial aid the borrower receives.
- Borrowers do not have to have a certain GPA to qualify for a loan.
- -Loans discharged if the borrower dies or becomes permanently disabled.
- Offers in-house customer service representatives and a dedicated advisor or banker for borrowers.
- Does not offer flexible or nontraditional credit requirements such as on-time rent payments.
- Charges a late fee of 5% of the payment amount for payments not made within 15 days of the due date.
Our pick for
Second-chance loans
- Typical credit score of approved borrowers or co-signers: Does not disclose.
- Minimum income: Does not disclose.
- Loan amounts: $5,000 to $60,000.
- Borrowers are eligible for a 0.25% interest rate discount when they sign up for automatic payments.
- Offers academic deferment for borrowers who return to school.
- Up to 24 consecutive months of hardship forbearance.
- Allows co-signers. Co-signer release only requires a soft credit check.
- GradBridge charges a 5% origination fee and a late fee of 5% or $5 (whichever is less).
- Only offers three term lengths: 5, 10 and 15 years.
- Does not have in-house customer service representatives.
What to know in 2026 🤓
In late June 2026, a federal judge blocked the U.S. Department of Education's new definition of "professional" degrees set to take effect on July 1, ruling the agency lacked authority to write its own definition. ED then issued a new list expanding professional-degree programs from 11 to 29, including three nursing degrees. It says it expects this list to change as litigation proceeds. This article presents ED's planned professional designations prior to the court ruling. New borrowing caps still took effect July 1 as scheduled: professional-program students can borrow up to $50,000 a year, versus $20,500 for other graduate students.
Grad PLUS loans are no longer an option for new borrowers
In the past, borrowers were eligible for two types of federal loans for graduate school: Direct Unsubsidized Loans and grad PLUS loans. Grad PLUS loans were eliminated for new borrowers on July 1, 2026.
If you have an existing federal loan and remain at the same school in the same degree program, you may still be able to access grad PLUS under a grandfathering provision. Certain graduate students may also be eligible for a federal health professions student loan, which is available on a very limited basis.
Direct Unsubsidized Loans have new limits for graduate students
Graduate students can qualify for federal Direct Unsubsidized Loans without demonstrating financial need. The new limits for professional programs (like law school and medical school) are $50,000 annually and $200,000 cumulatively. For other graduate programs, the limits are $20,500 annually and $100,000 overall. The lifetime maximum federal borrowing limit, which includes undergraduate and graduate education but excludes parent PLUS loans, is $257,500.
Previously, grad PLUS loans allowed students to borrow up to the full cost of attendance — including tuition, fees and room and board. Without grad PLUS loans as an option, some graduate students may have a gap between what federal loans cover and the actual cost of their program.
For context, graduate student borrowers have an average outstanding debt of $106,129 (including undergraduate and graduate degrees). The largest gap may be for professional programs like medicine. For example, medical school students owe approximately $246,659, including undergraduate debt, upon completing their degree.
Students in high-cost programs like medicine or law should factor private loans into their borrowing plan early, and compare lenders to get the best rate possible.
Direct Subsidized Loans are not available for graduate school borrowers.
» MORE: New graduate school loan limits
Grad students with Direct Unsubsidized Loans who go on to work at a nonprofit or governmental organization may be eligible for loan forgiveness after 120 qualifying monthly payments through Public Service Loan Forgiveness (PSLF).
Finding the best graduate student loan
There is no shortage of private student loan options for graduate students. It’s possible that you could pay less for a private graduate school loan compared to a federal loan in some cases. For example, if you or a co-signer has excellent credit, receive a low rate and take advantage of any possible rate reductions.
Compare private student loans
Before committing to a private student loan, compare interest rates and consider whether other factors, such as your field of study or career choices, could impact your borrowing capabilities.
It's best to check rates from multiple lenders before applying to ensure you get the best rate possible. Additional items to compare across lenders include:
Type of interest rate: variable or fixed.
Credit score and co-signer requirements.
Fees, including application, processing and late fees.
Repayment plans.
Grace period.
Default terms.
What to know in 2026 🤓
The U.S. Department of Education has announced that federal student loan borrowers enrolled in autopay will be eligible for a 1% rate discount starting July 1, 2026.
Borrowers must enroll in autopay by September 30, 2026, to benefit. Borrowers who are already enrolled in autopay (and who are already benefiting from the 0.25% discount) will automatically receive an additional 0.75% rate reduction. This rate reduction will apply to borrowers whose loans originated after July 1, 2012, and will run through June 30, 2028.
Research degree-specific graduate student loans
Many lenders have certain products geared toward the graduate degree you're pursuing. Here is a list of degree-specific graduate loans commonly offered by lenders.
How to get loans for graduate school
Follow these steps to apply for a graduate student loan:
1. Complete the FAFSA
You can apply for federal Direct Unsubsidized Loans for graduate school by completing the Free Application for Federal Student Aid (FAFSA).
2. Review and complete loan-specific paperwork
If applying for a Direct Unsubsidized Loan, your school will use the information from your FAFSA to prepare a financial aid package that includes a direct loan. You will receive a FAFSA submission summary detailing eligibility for federal loans.
3. Supplement with private loans
If federal loans don't cover your full cost of attendance — which is a possibility under the new borrowing limits — apply for private graduate student loans to fill the gap. For private loans, apply directly to the lender. Unlike federal loans, private loans don't offer income-driven repayment or PSLF eligibility, so borrow only what you need.
Comparing federal and private graduate school loans
If you have a choice between federal and private graduate school loans, the best option is likely federal student loans. Here’s a brief comparison.
Federal | Private | |
|---|---|---|
Good credit required | No | Yes. Otherwise will need a co-signer with good credit or pay a higher interest rate. |
Annual borrowing limit | $20,500 (most programs); $50,000 (professional) | Varies by lender and program, but most are up to the cost of attendance. |
Cumulative borrowing limit (grad school only) | $100,000 (most programs); $200,000 (professional) | Varies by lender and program, but some have either no or a higher limit. |
Lifetime borrowing limit (undergrad + grad) | $257,500 | Varies by lender and program, but some have no or a higher limit. |
Income-driven repayment | Yes | No. May offer reduced payments for hardship situations but not true IDR. |
Loan forgiveness eligibility | Yes | No |
Borrowing limits may be lower for students enrolled less than half time.
Whether you opt for federal or private loans, most lenders won't require you to pay student loans while in graduate school, provided you're enrolled at least half time. However, making payments can save you money because graduate school loans accrue interest, even while you’re in school.
Last updated on July 1, 2026
Frequently asked questions
What graduate student loan program was eliminated?
The federal grad PLUS loan program was eliminated for new borrowers on July 1, 2026, under the One Big Beautiful Bill Act, signed into law in July 2025. Before this change, grad PLUS loans allowed graduate and professional students to borrow up to the full cost of attendance — including tuition, fees and room and board — beyond the limits of federal Direct Unsubsidized Loans.
New borrowers are now limited to Direct Unsubsidized Loans, which are capped at $20,500 per year for most graduate programs and $50,000 per year for professional programs such as law and medical school. Students who had a grad PLUS loan disbursed before July 1, 2026, may qualify for a grandfathering provision that allows them to continue borrowing under the old rules for up to three additional years or until their program ends, whichever comes first.
Do I qualify for the grandfathering provision for a Grad PLUS loan?
Graduate students who borrowed a grad PLUS loan before July 1, 2026, may have continued access to the program under a grandfathering provision. To qualify, the loan must have been disbursed — not just originated — before the deadline, and the student must remain enrolled in the same program at the same school. Grandfathered borrowers can continue accessing grad PLUS loans for up to three additional years or until their program ends, whichever comes first.
To apply for a grad PLUS loan, you will need to complete a Direct PLUS Loan Application at studentaid.gov after completing the FAFSA. Note that the Department of Education will check your credit during the application process for PLUS loans, and an adverse credit history may limit your eligibility.
What is the best student loan for graduate school?
For most graduate students, federal Direct Unsubsidized Loans are the best starting point. They don't require a credit check, offer access to income-driven repayment through the new Repayment Assistance Plan (RAP), and may qualify for PSLF. However, federal loan caps may result in some students needing to look beyond federal aid to cover their full cost of attendance. Once you've maxed out federal loans, consider scholarships, grants, institutional aid from your school or private student loans. If you go the private loan route, shop around and compare rates, terms and repayment options carefully to find the best fit for you.
What are the graduate loan options for international students?
Getting a student loan in the U.S. as an international student can be challenging. You will need a private lender, and many require applicants to have a U.S. citizen as a co-signer. However, a few private lenders do offer graduate student loans for international borrowers with no co-signer. Without a co-signer, you will most likely be evaluated by your future income and academic performance rather than your current financial situation. Also, you are likely to pay a higher interest rate than you would with a co-signer.
» MORE: International student loans
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NerdWallet's Best Graduate Student Loans of July 2026
- College Ave: Best for Transparency and repayment options, Fixed APR: 2.39-15.99%
- Sallie Mae: Best for Range of graduate loan options, Fixed APR: 2.49-14.99%
- SoFi®: Best for Affordability, Fixed APR: 2.98-14.83%
- Earnest: Best for Repeat borrowing, Fixed APR: 2.29-14.05%
- Ascent: Best for Flexible repayment, Fixed APR: 2.69-16.86%
- Monogram: Best for Potential rate reduction, Fixed APR: 3.35-17.17%
- Abe: Best for Potential rate reduction, Fixed APR: 2.39-15.58%
- Citizens: Best for Multi-year approval, Fixed APR: 3.24-14.03%
- GradBridge: Best for Second-chance loans, Fixed APR: 18.06-23.07%
- Union Federal: Best for Potential rate reduction, Fixed APR: 3.35-16.36%
- LendKey: Best for Applying to multiple lenders, Fixed APR: 2.87-13.84%
- MPOWER: Best for International students with no co-signer, Fixed APR: 10.89-18.62%