Private Student Loan Advice & College Financing Resources

Paying for college often becomes a shared responsibility between students and parents. When federal aid and scholarships aren’t enough, families typically face two common options: taking out a parent loan or cosigning a private student loan.   While both can help bridge the funding gap for your student, they work very differently and choosing the right path depends on your goals and circumstances.   Here’s a clear, side-by-side look to help you decide which option may be better for your family.  What Is a Parent Loan?  A parent loan (most commonly a federal Parent PLUS loan or a private parent loan) is taken out entirely in the parent’s name. This means the parent is the primary borrower and is fully responsible for repayment from day one.  Parent loans can typically cover up to the full cost of attendance (minus other financial aid), making them a flexible option for families facing large funding gaps.   Key characteristics of a parent loan:  The parent owns the debt   Repayment responsibility stays with the parent unless refinanced   Federal options may include protections like income-driven repayment or forgiveness programs   This option gives parents full control, but also full responsibility.  What is a Cosigned Student Loan?  Cosigning a private student loan means the student is the primary borrower, but the parent agrees to share legal responsibility for the loan.  This is extremely common. Most undergraduate private student loans require a cosigner because students typically don’t have enough credit history or income to qualify on their own. In fact, Ascent borrowers with a cosigner see rates that are 4.92% lower on average* and are 4x more likely to be approved.*  Key characteristics of a cosigned student loan:   The student owns the loan, but the parent is equally responsible   Both borrower and cosigner are accountable for repayment   The loan appears on both credit reports   Cosigning can help students qualify and potentially secure better rates, but it comes with shared risk.  When you consider this option, it’s important to note that some lenders may offer a cosigner release feature. A cosigner release removes the cosigner from the loan after the student meets the lender’s requirements, so the student becomes solely responsible for repayment after becoming eligible according to the lender’s requirements.   The Biggest Difference: Who Is Responsible?  At the core, the decision comes down to ownership and control.  With a parent loan, the parent is 100% responsible for repayment.   With a cosigned loan, responsibility is shared, but if the student can’t pay, the parent must step in.   In both cases, parents (or the cosigners) are financially on the hook. The difference is whether that responsibility is primary (parent loan) or conditional (cosigning).  Is the Cosigned Student Loan or Parent Loan Better for Me?  There isn’t a one-size-fits-all answer when it comes to choosing between a parent loan and a cosigned private student loan. The right option depends on your family’s goals, resources, and comfort levels with shared responsibility.  Here are some questions to ask as you consider your decision:  Who will realistically handle monthly payments, both during school and after graduation?   How important is it to keep control of the loan in one person’s hands?   Are you comfortable sharing financial responsibility, or do you prefer a single primary borrower?   Would having the option to release a cosigner in the future make a difference for your long-term plan?   Talking through these questions can help your family choose a path that works best, keeps everyone clear on expectations, and sets up both the student and parent for financial confidence in the years ahead.  Final Thoughts  The right choice comes down to your family’s financial priorities, communication, and long-term plan. When you take the time to align on expectations and understand the tradeoffs, you can move forward with confidence and build a plan that supports both education goals and financial well-being.  * 4x higher acceptance rates were observed between November 2024 through January 2025 across all products when a loan application is cosigned vs without a cosigner. Ascent’s minimum credit requirements vary based on loan product, credit history, and whether you’re applying with a cosigner. You can see your rates without impacting your credit score to help you determine which product could be best for you based on your unique circumstances. 

Today’s student lending system often depends on credit scores and cosigners. But those measures do not always capture a student’s ambition or potential. As a result, many capable, motivated learners face barriers to support before they have the opportunity to show what they are truly capable of.  At Ascent, we aim to change that. Our outcomes-based lending pairs funding with built-in guidance and support, helping students and career learners stay on track, complete their programs, and prepare for meaningful opportunities after school.  Start with the video below, then keep reading to see how outcomes-based lending works and how Ascent supports learners from enrollment through career readiness.  https://youtu.be/ILBnTpo_Dvs?si=bXFz5XqpOqFG7Qjn   Why outcomes‑based funding matters  For too many students and learners, the traditional lending model does not reflect their potential or circumstances. That matters because access to education and the ability to finish it has real consequences for life outcomes, economic mobility, and community strength.  The gap in traditional lending  Private loans often rely on credit history or a creditworthy cosigner. In today’s economy, that can exclude capable learners for reasons that have little to do with their motivation or ability to succeed.  Young adults often do not have a long credit history, even when they are doing well academically.  First-generation college students may not have access to a quality cosigner.  Career changers and lifelong learners may face financial responsibilities that make traditional underwriting difficult.  Outcomes-based lending is designed to change that. By considering factors such as academic progress, program completion, and career readiness, these loans create opportunities for learners who might otherwise be left out.  How outcomes-based loans address this gap  Ascent’s outcomes-based loans focus on completion, progress, and long-term opportunity, helping qualified learners access funding when they need it most.  Juniors and senior undergraduate learners can use the Ascent’s College Outcomes-Based Loan® to cover tuition, fees, and other education costs, even if they have limited credit history or no cosigner. Eligibility for this loan type is based on several factors including major, GPA, cost of attendance, and graduation date.  Career-focused learners, whether upskilling, reskilling, or changing careers, can access the Career Outcomes-Based Loan®. With flexible repayment aligned to program completion or employment, this loan helps learners invest in their future without being held back by upfront financial barriers.  Graduate students also benefit from outcomes-based options, including loans that evaluate expected post-graduation earning potential rather than relying solely on current credit profiles. This helps ensure financing is manageable after completing advanced programs.  “We look at the whole person and their future potential,” said Allie Danziger, Ascent’s Chief Marketing Officer. “Then we help students plan, pay for school, and build the skills they need to succeed after graduation.”  Support beyond funding  Financing is only part of the picture. Students also need support to stay on track, build confidence, and get ready for what comes next.  All Ascent, borrowers get personalized coaching, career resources, and financial education that help with everything from managing time to acing interviews. Students also get access to apply to paid remote internship opportunities that give learners hands-on experience, helping them gain skills and confidence as they step into the workforce.  Strengthening learners, families and communities  Ascent has supported more than 168,000 people* and partnered with over 2,000 schools across the United States, providing more than $2 billion in funding for higher education and career-focused programs. These numbers show reach, but they only hint at the real impact.  When learners are able to finish their education, the effects ripple outward. Families gain stability, employers gain skilled talent, and communities grow stronger as more people fully participate in the economy. Supporting students is about more than tuition. It is about creating opportunities that last far beyond the classroom.  “This is why student success matters at every level,” said Danziger. “When individuals succeed, whether in school or in the workforce, their whole family benefits. Communities are strengthened, and society benefits. We are committed to removing barriers and helping more people access the education they want so they can contribute fully to their communities.”  Learn more about Ascent   No single company can solve the student finance system alone, but innovative models can move it forward. Ascent combines financial products with wrap-around student support, enabling more learners to access education and achieve academic and career success.  Ascent’s rare Outcomes-Based Loan provides funding to credit-invisible borrowers who generally do not benefit from traditional credit. Ascent products also include: Cosigned Loans, Solo Loans, Career Loans, Parent Loans, Graduate Loans, Access Loans, Enterprise Loans and Impact Loans.  From financial wellness resources to our flexible private student loans and undergraduate student loans, we are here to help students and their families make informed decisions about their future in college, and beyond.  * Over 168,000 borrowers took out an Ascent loan for college or career training tuition or expenses between January 2018 and November 2025.   

Getting your financial aid offer is an exciting step in your college journey. If you notice there is still a gap to cover, it can feel a little daunting at first. The good news is there are clear, practical ways to build a plan and keep moving forward.  This guide walks through how to close that gap step by step. You will start by maximizing funding you do not have to repay, then explore ways to reduce costs, and finally understand how to use student loans thoughtfully if you need them.  Step 1: Understand Your “Gap” Number   Before diving into solutions, start with a clear picture of what you actually need. Confirm your total cost of college and identify the portion that isn’t yet covered, your funding gap. Once you know your gap, you can explore ways to increase aid, reduce expenses, and build a strategy that works for your situation.  The key is to follow the right order. Maximize funding you don’t have to repay first, then make thoughtful decisions about the rest.  Colleges provide a Cost of Attendance (COA), which goes beyond tuition. It usually includes housing, meals, books, transportation, and personal expenses. Subtract any scholarships, grants, or other free aid you have received, and the remainder is your net cost, the true amount you need to cover.  Funding gap formula:  Net cost = COA − (grants + scholarships)  If you’re in grad school or considering enrolling, the Ascent’s Grad School Funding Calculator can help you identify your funding gap quickly and clearly, so you know exactly what you need to cover.  For undergrad students, Ascent offers a Student Loan Calculator to help you estimate your monthly payments and total loan costs.   Step 2: Ask About a Financial Aid Appeal  If your financial situation has changed, you may be able to request a review of your aid offer. This is often called a financial aid appeal or professional judgment review.  It’s worth exploring if your family has experienced something like a job loss, reduced income, unexpected medical expenses, or other significant life changes. Schools understand that financial situations evolve, and many have a process in place to reassess your aid.  Reaching out to your financial aid office is the first step. From there, you’ll typically submit a short explanation of your situation along with documentation that supports it.  Being clear, specific, and timely can make a difference here. Even small adjustments to your aid package can help reduce your overall gap.  Step 3: Focus on Scholarships and Grants First  Before turning to borrowing, invest time in scholarships and grants. These forms of aid reduce what you will need to repay later, making them a smart first step. Start with trusted resources such as Federal Student Aid and  College Board Scholarship Search.    Don’t overlook local opportunities. Scholarships through your school, community organizations, employers, or other local groups often have fewer applicants and can be easier to win. From there, you can expand your search to state and national programs.  Consistency is key. Set aside time each week to apply, reuse materials such as resumes or essays, and track deadlines to stay organized. Even smaller awards add up over time and can make a meaningful difference in your total college costs.  Some scholarships reopen regularly, giving you more chances to win. For example, Ascent’s $1,000 “Plan, Pay and Succeed” Scholarship Giveaway awards one student $1,000 each month. The application takes just a few minutes and does not require an essay. Students ages 14 and older who are enrolled at least half-time in high school, college, or a technical training program can apply, and because the scholarship runs monthly, you can enter again for another chance to win.  Step 4: Make Sure You’ve Used All Available Aid  If you haven’t already, completing the FAFSA (Free Application for Federal Student Aid) and any required school or state forms is an important step. Even if you’re unsure whether you’ll qualify for need-based aid, these forms can unlock access to additional resources.  This can include grants, institutional aid, and work-study opportunities. Some schools also offer payment plans that allow you to spread costs across the semester, which can make expenses more manageable.  Taking full advantage of what’s already available ensures you’re not leaving potential funding on the table.  Step 5: Look for Ways to Reduce Your Costs  When you’re working to close a gap, lowering your expenses can be just as impactful as finding new funding.  Small adjustments, such as choosing a different housing option, renting textbooks instead of buying new ones, or selecting a meal plan that better fits your habits, can add up quickly.  It’s also worth double-checking your academic plan. Making sure you’re taking the right courses and staying on track for graduation can help you avoid unexpected costs later.  These changes don’t have to be drastic to be effective. Even modest savings can reduce how much you need to cover elsewhere.  Step 6: Consider Income Options While in School  Earning income while in school can reduce how much you need to borrow. For example, work-study programs are federal jobs offered through your school, often on campus, and are designed around your class schedule. To apply, you must indicate interest on the FAFSA. If awarded, the school will provide a job listing and set the number of hours you can work.  Part-time jobs or internships off-campus are another option. Choose roles that fit your schedule and ideally build skills for your future career. Before accepting a job, calculate your take-home pay versus any extra costs like commuting, parking, or materials. Even a few hundred dollars a month can reduce how much you need from loans.  Tip: If you’re looking for internship help, check for programs that connect students with opportunities and career support. For example, Ascent offers the AscentUP internship program to help students explore internships and build career-ready skills.  Step 7: Understand Your Loan Options  After maximizing scholarships, grants, and income, many students still have a funding gap. This is where loans often become necessary.  First, you can consider whether federal or private student loans, or a combination of both,  work best for you.  Federal student loans: Offered by the government, these loans have fixed interest rates, standardized repayment terms, and protections like deferment or income-driven repayment. To apply, complete the FAFSA and review your award offer. Federal loans are often the first choice because of these protections.  Private student loans: Offered by banks, credit unions, and lenders like Ascent, private loans can cover the remaining cost of attendance. Terms vary based on credit, income, and cosigner status.  Here’s how the private loan process typically works:  Submit an application to the lender with your personal, financial, and school information, including how much you plan to borrow. Most applications are completed online and only take a short time to fill out.  Many students apply with a cosigner for student loans, often a parent or trusted adult, since most students don’t yet have established credit or income. A cosigner is equally responsible for the loan and can help improve approval chances and secure a lower interest rate.In fact, Ascent borrowers who apply with a cosigner are 4x more likely to be approved.*  After approval, the lender requests school certification. Your school confirms your enrollment, cost of attendance, and that you are not borrowing more than your remaining need.  Once finalized, funds are sent directly to your school and applied to tuition and other charges. Any remaining amount is refunded to you for approved expenses like housing, books, or other education-related costs.  Repayment options vary, but many private student loans offer in-school options such as deferred payments, interest-only payments, or small fixed payments  Tools such as Ascent’s Student Loan Calculator can help you plan for both borrowing and repayment confidently.  Step 8: Borrow Responsibly and Revisit Your Plan  Borrowing can be a useful tool, but it works best when it’s part of a thoughtful plan.  Keeping your total borrowing as low as possible, understanding your future monthly payment, and checking in on your plan each semester can help you stay on track.  If you’re able to make small payments while in school, even covering interest, it can reduce your total cost over time. And as your situation changes, revisiting your approach ensures it continues to support your goals.  Bottom Line  If your financial aid isn’t enough, you still have a clear path forward.  Start with scholarships and grants, explore ways to reduce costs, and look for opportunities to earn income while in school. If you need to borrow, take time to understand your options and choose a plan that fits your budget and your goals.  With the right approach, you can build a strategy that works for you and keep your journey toward graduation moving forward with confidence.  Learn More with Ascent   Paying for college can be challenging, and Ascent is committed to providing students and families with the financial resources needed to pursue their dreams.      From financial wellness resources to our flexible private student loans and undergraduate student loans, we are here to help students and their families make informed decisions about their future in college, and beyond.  Frequently Asked Questions  What if my financial aid doesn’t cover housing and meals?  Start by confirming what your school included in its cost estimate, then compare housing and meal options to find potential savings. From there, explore additional scholarships, income options, and payment plans before turning to loans.  Can I combine scholarships with a private student loan?  In many cases, yes. Scholarships and grants are typically applied first, and loans may be used to cover remaining eligible expenses. Schools may adjust aid if total funding exceeds your cost of attendance.  Do I need a cosigner for a private student loan?  It depends on your financial profile and the lender. Many students apply with a cosigner to strengthen their application. If you do, it’s important that both of you understand the responsibility involved.  Should I consider federal loans before private loans?  Many students review federal loan options first because of their standardized terms and protections. Private loans can then help cover any remaining gap, depending on your needs and eligibility.  *4x higher acceptance rates were observed between November 2024 through January 2025 across all products when a loan application is cosigned vs without a cosigner. Ascent’s minimum credit requirements vary based on loan product, credit history, and whether you’re applying with a cosigner. You can see your rates without impacting your credit score to help you determine which product could be best for you based on your unique circumstances. 

Scholarships are a great way to lower your college costs, but many students don’t realize there can be rules until the money hits their account.  What you can spend scholarship funds on depends on the scholarship’s terms and, sometimes, your school’s policies.  Here’s a practical guide to what’s usually allowed, what’s commonly restricted, and tips to stay organized so you can use your scholarship money correctly.  First, Familiarize Yourself with Your Scholarship’s Rules  Before you spend a dollar, check your scholarship’s award letter or donor agreement. Look for wording like “restricted to tuition and fees,” “for educational expenses,” “renewable,” or “refunds returned to the donor.”  If anything is unclear, contact the scholarship provider (or your school’s financial aid office if the scholarship is administered through the school) and ask what expenses are allowed and how refunds are handled.  What Scholarship Money Can Usually Be Used For  Many scholarships are intended for “education expenses.” In practice, that often includes the same core costs schools use to estimate your cost of attendance. Common approved uses include:  Tuition (your class costs)  Mandatory fees (technology fees, lab fees, student services, etc.)  Books and course materials (textbooks, access codes, required readings)  Supplies and equipment required for classes (for example: calculators, art supplies, tools, nursing scrubs—when required)  Housing (on-campus housing and, sometimes, off-campus rent)  Meal plans or food (often covered when the scholarship allows “room and board”)  Transportation (commuting costs, local transit—sometimes allowed under broader “education expenses” rules)  Computer and internet (especially if needed for coursework; some scholarships explicitly allow a laptop)  Required insurance or program costs (only if the scholarship terms allow it)  How it often works: If your scholarship is sent to your school, it may be applied to your student account first (tuition/fees/housing). If there’s extra left over, you might get a refund. Whether you can keep and spend that refund—and on what—depends on the scholarship’s rules and your school’s process.  What Scholarship Money Usually Can’t Be Used For  Restrictions vary, but many scholarships don’t allow spending on personal or non-essential costs. Common examples of expenses that are often not allowed include:  Entertainment and non-school shopping (concerts, games, streaming subscriptions, decorations)  Vacations and travel that isn’t school-related  Car payments (some scholarships may allow commuting costs, but not buying a car)  Alcohol, tobacco, or other restricted products  Parking tickets, late fees, library fines, and other penalties  Gym memberships (unless required by your program)  Fraternity/sorority dues (commonly restricted)  How to Use Scholarship Money Smartly (and Avoid Surprises)  Ask where the funds will go first. Will the scholarship pay your school directly, or will you receive a check/direct deposit?  Learn the refund rule. If your scholarship creates a credit on your student account, does the leftover come to you—or does it get returned?  Keep receipts. Save bookstore receipts, housing bills, and anything the scholarship might ask you to verify later.  Use a simple tracking system. A spreadsheet or notes app is enough—track the date, amount, and what you purchased.  Prioritize essentials. Cover tuition/fees/books first, then housing/food if allowed, then anything else the scholarship approves.  Don’t assume “extra” money is free money. If you’re not sure an expense is allowed, ask before spending.  Bottom Line  If you’re asking “what can scholarship money be used for,” the safest answer is: whatever the scholarship agreement allows—and that usually starts with tuition, required fees, and required course materials. When in doubt, ask the scholarship provider or your financial aid office, and keep receipts so you can prove your spending if needed.  Learn More with Ascent  Navigating the student loan application process can be challenging, and Ascent is committed to providing students and families with the financial resources needed to pursue their dreams.     From financial wellness resources to our flexible private student loans and undergraduate student loans, we are here to help students and their families make informed decisions about their future in college, and beyond.  Plus, don’t forget to check out Ascent's scholarship giveaways, here.  Ascent scholarships are easy to apply for, with no essays required, just simple applications and a chance to win money for school.  FAQ: Scholarship Money Rules Students Ask About  Can I use scholarship money for dorms or rent?  Often yes if the scholarship allows “room and board” or broader “education expenses.” Some scholarships are tuition-only, so always confirm the exact wording.  Can I use scholarship money for a laptop?  Many scholarships allow a computer if it’s needed for school, but not all do. If allowed, keep the receipt and make sure it’s clearly for coursework (not a luxury upgrade you can’t justify).  Can scholarship money be used for food?  If your scholarship includes “room and board,” a meal plan (or reasonable food costs) may be covered. If it’s tuition/fees only, food usually isn’t allowed.  What happens if my scholarship is more than my tuition bill?  Your school may apply the scholarship to your account and then issue a refund for the extra amount. But some scholarships require the unused portion to be returned, reduced, or applied to a future term—so check the policy before you spend any refund.  Will a scholarship reduce my other financial aid?  Sometimes. Schools may need to adjust parts of your aid package to stay within your total cost of attendance. If you’re expecting multiple scholarships, tell your financial aid office early so you can avoid last-minute changes. 

College can be expensive, but scholarships are a great way to make it more affordable while recognizing all the hard work you’ve put in. Even smaller awards can add up to cover tuition, books, or campus life expenses.  The trick is knowing where to look and how to apply, so your application really stands out. This guide will walk you through the process step by step, with tips and strategies to help you find scholarships that fit you and make the whole process feel way less overwhelming!  Why Scholarships Matter  Scholarships are money given to students to help cover the cost of college that you do not have to pay back. More scholarship money means less pressure to borrow student loans or work extra hours while in school. They also recognize your achievements and can make your resume stand out.  Start Your Search Early  Timing is everything when it comes to scholarships. Many awards have deadlines months before the academic year begins. High school students should begin searching as early as freshman or sophomore year, while college students should look for awards for the current year and future years as soon as applications open.  Creating a schedule that includes deadlines, requirements, and reminders can help you stay organized and ensure you never miss an opportunity.  Where to Look for Scholarships  Scholarship opportunities exist everywhere, from national competitions to local awards. National scholarship databases are a great place to start. They let you search for awards based on your grade level, major, interests, or background. Resources like Federal Student Aid, College Board Scholarship Search, Scholarships360 and Fastweb are popular starting points.  Local scholarships often have fewer applicants, which can make them easier to win. Check with your high school counselor, parent or guardian’s employer, local community foundations, and civic organizations. Even small awards add up and can significantly reduce the cost of college.  Many colleges also offer scholarships for incoming students, continuing students, or students pursuing a particular major. Keep an eye on your school’s financial aid website and department pages for announcements and updates.  Choosing the Right Scholarships  Not all scholarships are created equal. It is worth focusing on the ones that match your profile and goals. Look for awards that relate to your major, academic record, personal background, hobbies, or achievements. Creating a running list of scholarships, deadlines, and requirements will help you prioritize your time and apply to the awards with the best fit.  Writing Strong Applications  Finding scholarships is only part of the process. The application itself is your chance to stand out. Pay close attention to instructions and make sure you submit everything that is required. Missing a single document can disqualify your application.  The essay is often the most important part. Use it to show who you are beyond your grades. Tell a story about your experiences, challenges, or goals, and keep your writing clear, positive, and personal. We also recommend avoiding the use of AI as many scholarship reviewers value authenticity. Have a teacher, counselor, or family member review your essay for feedback.   Recommendation letters can also make a big difference. Choose people who know your work ethic and character, and provide them with details about the scholarship and examples of your achievements so they can write a personalized letter.  Look for Scholarships You Can Apply to More Than Once  Some scholarships reopen every month or every year, which means more chances to win. Ascent’s $1,000 “Plan, Pay and Succeed” Scholarship Giveaway is a good example. One student receives $1,000 each month, and the application takes just a few minutes with no essay required. Students ages 14 and older who are enrolled at least half-time in high school, college, or a technical training program can apply—and because the scholarship runs monthly, you can enter again for another chance to win. Students ages 14 and older who are enrolled at least half-time in high school, college, or a technical training program can apply—and because the scholarship runs monthly, you can enter again for another chance to win.  Tips for Success  The most successful scholarship seekers start early, stay organized, and put time into personalizing each application. Keep your resume updated with achievements, volunteer work, and extracurricular activities. Set weekly goals for finding and applying for awards, and celebrate each win no matter the size. Even smaller scholarships can add up and make a meaningful difference in your college budget.  Scholarships can have a big impact on your college journey if you approach the process with a plan. By following this guide, you can make scholarship finding and winning a structured part of your college funding strategy.  Start Your Scholarship Journey Today  Even a few minutes a week searching and applying can add up to hundreds—or even thousands—of dollars toward your college experience. Bookmark recurring scholarships, keep track of deadlines, and personalize each application. Every win counts, big or small, so celebrate your progress and keep moving forward toward your goals!  Not sure where to start? Check out Ascent's scholarship giveaways, here.  Ascent scholarships are easy to apply for, with no essays required, just simple applications and a chance to win money for school.   Learn More with Ascent   Paying for college can be challenging, and Ascent is committed to providing students and families with the financial resources needed to pursue their dreams.      From financial wellness resources to our flexible private student loans and undergraduate student loans, we are here to help students and their families make informed decisions about their future in college, and beyond. 

Financial wellness often starts with clarity, and understanding how you are paying for graduate school is no exception. Paying for graduate school has always required careful planning, but starting with the 2026–27 academic year, the math changes for many students.   With the elimination of Grad PLUS loans for new borrowers after July 1, 2026, graduate and professional students may have less federal borrowing capacity than in prior years. That can create a “funding gap” between your program’s total cost and what you can cover through federal loans and personal resources.  Ascent’s Grad School Funding Calculator helps you estimate that gap in under a minute. By entering your program length, cost of attendance, expected annual cost increases, and how you plan to pay (federal loans plus cash/scholarships/family support), you can quickly see what you’ll still need to finance.  Below is a quick walkthrough of what changed, what the calculator is doing behind the scenes, and how to use your results to plan your next steps.  What changed with graduate federal loans (starting July 1, 2026)  Grad PLUS loans are eliminated for new borrowers after July 1, 2026.  Graduate students are limited to Direct Unsubsidized Loans ($20,500/year for graduate programs and $50,000/year for professional programs) and lifetime caps.   For many students, this means federal loans may no longer cover the full cost of attendance.  This calculator is most useful as a planning tool: it helps you model scenarios before you commit to a program, accept an offer, or decide how much you’ll need to cover with savings, scholarships, employer support, or private student loans.  How to Use the Grad School Funding Calculator  If you’re trying to figure out what grad school might actually cost, and what you’ll need to do to cover the difference, this calculator can help. In a few quick inputs, it estimates your total program cost, how much you may be able to cover with federal Direct Unsubsidized Loans (based on annual limits), and what funding gap could be left.  You can use it whether you’ve already been accepted or you’re still comparing options: Ascent’s Grad School Funding Calculator.  Start by Entering Your Program Details  In the first section of the calculator, you’ll enter basic details about your program. The tool uses these inputs to estimate your total multi-year cost and apply the right annual federal loan cap, so the funding gap it shows you is tailored to your situation.  Program type (graduate vs. professional): Start by choosing the type of program you’re planning for. The calculator uses this choice to apply the correct annual federal Direct Unsubsidized Loan limit, because the federal borrowing cap can differ between graduate and professional programs. That annual limit is one of the key pieces the tool uses to estimate how much of your total cost could be covered with federal loans each year.  Have you been accepted? (optional): If you already have an admission offer, choose “Yes.” If you’re still applying, choose “Not yet.” Either way, you can use the calculator—the difference is how precise your inputs can be. If you’re accepted, you can plug in the cost of attendance for that exact school. If you’re not accepted yet, running a few “what if” scenarios can help you compare programs and spot a potential funding gap before you commit.  Program length: Enter how many years you expect to be enrolled (for example, 2 years). The calculator multiplies your annual cost across the number of years (and adjusts for any annual cost increases you enter) to estimate your total program cost—and your total funding needs over time.  Annual cost of attendance (tuition + living expenses): Enter the school’s published cost of attendance for one year (or your best estimate). This is the baseline the calculator uses for your “total cost,” and it typically includes tuition/fees plus housing, food, transportation, books, supplies, and personal expenses.  Cost of attendance annual increase (optional): If you expect costs to rise each year, enter a percentage. The calculator uses this to increase the annual cost in later years (so a 2–4 year program reflects real-world price growth). If you’re not sure, leaving it at 0% gives you a simpler baseline, or your financial aid office may be able to share historical trends.  Choose How You Plan to Pay Each Year  Federal loans per year: Use the slider to select how much you plan to borrow in federal Direct Unsubsidized Loans each year, up to the annual maximum shown for your program type (for many graduate programs, the calculator shows a max of $20,500/year).  Planned cash/scholarships/family contribution per year: Enter any amount you expect to cover without loans—such as scholarships and grants, savings, employer tuition assistance, veteran benefits (if applicable), or support from family.  Calculate Your Funding Gap  After you click “Calculate My Funding Gap," the tool adds up your estimated total cost and subtracts the funding you’ve already planned to use, federal Direct Unsubsidized loans and any cash contributions.   Your results break into three clear buckets: your total cost, your planned funding, and your funding gap.  The gap is the most important number to focus on. It shows where you may need to fill in the difference using a combination of options that make sense for your situation.  For some students, that means continuing to look for scholarships or grants, using employer tuition assistance, or adjusting living expenses or program timing. For others, private student loans may be part of the plan, especially when federal borrowing is capped and remaining costs can’t be covered with savings alone.   If private loans are an option you’re considering, applying with a cosigner can help improve access and may lead to more competitive rates. While it’s a personal decision that comes with shared responsibility, it can be one way to make financing feel more manageable.  Exploring these options side by side can help you understand tradeoffs like interest rates, repayment flexibility, and total cost over time.  Ascent Is Here to Help  Paying for graduate school is a major decision, especially as federal loan rules change. Taking time to understand your total costs, identify any funding gap, and compare your options can help you make a more confident choice, before you commit.  Ascent offers resources for students and families offer guidance about paying for school, better budgeting, career-readiness, and more. Amid ongoing student loan changes, Ascent remains committed to empowering student success and financial wellness.  

Starting in the 2026–2027 academic year, new graduate and professional students will no longer have access to Grad PLUS loans. For many institutions, this is a real enrollment and access risk.  Grad PLUS has often been the “last-mile” funding that lets students bridge the gap between federal loan limits and the full cost of attendance. When that bridge goes away, schools are left with a practical question: how big is the gap for your incoming cohorts, and what would you need to replace (or rethink) to keep your enrollment plans on track?  Ascent built the Grad School Impact Calculator to help institutions put real numbers around that exposure. In a few minutes, you can plug in program basics (cost of attendance, program length), enrollment assumptions for incoming cohorts, and your historical aid mix to estimate the funding gap tied to the Grad PLUS change.  Below, we’ll quickly cover why the Grad PLUS change matters for institutions, then walk through how to use the calculator: what to enter, how to interpret the funding gap, and how to save/share results with stakeholders.  Background on Grad PLUS Loans: Why Does this Funding Gap Matter for Your Institution?  Grad PLUS loans have historically filled the gap between federal loan limits and the true cost of attendance for graduate students. Federal data shows that while only 16% of graduate students rely on the program, Grad PLUS accounted for 32% of all federal graduate lending, showing just how central it became in helping students pursue advanced degrees.  Even if Grad PLUS borrowers are a minority of students, the exposure can be concentrated in specific programs and cohorts, really impacting students that relied on this funding. In other words, the impact isn’t “16% across the board”; it can be much higher where the gap between loan limits and cost of attendance is largest.  For institutions, Grad PLUS has helped stabilize enrollment by making the full cost of attendance financeable for more students. Federal data shows the scale of the program: about 1.8 million borrowers hold Graduate PLUS loans totaling approximately $119.2 billion in debt, an indicator of how significant this transition could be for future students trying to enhance their futures.  High-cost graduate programs, such as law, medicine, and business, are especially affected. These programs often carry tuition and fees that far exceed federal loan limits, and students frequently rely on layered financing, including Grad PLUS loans, to cover living expenses and program costs.    For schools, this shortfall could translate into fewer enrollments, particularly among underrepresented groups.  Use the Calculator to Quantify Your Grad PLUS Funding Gap  The calculator shows what the Grad PLUS change could mean for your program: how much funding may disappear for new borrowers, when the impact shows up, and how large the resulting gap could be under your assumptions.  Using a few key inputs, the tool helps schools:  Estimate the size of the Grad PLUS gap for a specific program and cohort plan  Stress-test scenarios (flat vs. growing enrollment, different COA increases, different aid mixes)  Translate the gap into “what would we have to replace to hit our enrollment goals?”  Create a shareable results view to align financial aid, enrollment, and leadership  Instead of leaning on national averages, the calculator reflects your program’s structure, costs, and enrollment assumptions, so the output is something you can actually plan around.  How to Use the Grad School Impact Calculator   Use this quick walkthrough to complete the Grad School Impact Calculator and capture results you can share internally.   First, Enter Your Program Details  Start by entering the basics for the program you’re modeling: select the program type, enter the program length, and add your annual cost of attendance (COA). If your COA typically increases year over year, include an annual increase so the estimate reflects what future cohorts will actually face.  Enter Enrollment Assumptions for New Cohorts  Add the number of students you expect to enroll, starting with 2026–2027 (the first cohort impacted for new borrowers).    If you have a detailed forecast, enter enrollment year-by-year so the results reflect planned changes (like a cohort expansion or a new concentration).  If you’re earlier in planning, use a growth assumption (if available) to quickly model flat vs. modest growth scenarios.  Enter Your Historical Aid Mix  Input your average per-student funding breakdown (including the historical Grad PLUS portion). This is the lever that drives the estimate: the calculator uses it to translate “Grad PLUS goes away for new borrowers” into a dollar gap for your program.  Use recent averages if you have them (by program, not institution-wide) so the output reflects how your students typically finance the COA.  If you’re unsure, start with a best estimate, run the calculator, then refine once financial aid/enrollment teams confirm the numbers.  If your program has distinct populations (e.g., full-time vs. part-time), consider running separate scenarios so you don’t blend very different aid patterns.  Review and Save Your Results  Now you can see the number you’re here for: your estimated funding gap. That’s the amount of Grad PLUS-backed funding that would no longer be available to new borrowers starting in 2026–2027, based on the assumptions you entered.  Why this matters: once you can see the gap, you can connect it to real choices: how much funding you’d need to replace to protect enrollment, how quickly you’d need to act, and which programs or cohorts are most exposed.  Don’t worry about getting it perfect on the first pass. Once you see your funding gap, try a few “what-if” scenarios: adjust enrollment, COA growth, or your aid mix to see how the gap changes. When you land on a version you want to share, save or print the results as a PDF, and grab screenshots of the key numbers, charts, or tables for your team.  About Ascent   Ascent is a mission-driven fintech company committed to redefining student lending through a focus on access, affordability, and lasting economic impact. Backed by institutional capital, we offer innovative loan options for college and career training programs, helping more students qualify, with or without a cosigner. But funding is just the start. From career readiness tools to financial wellness resources to over $330,000 in no-essay scholarships, everything we build is designed to turn education into real opportunity.   Learn more about how we’re working to increase student income by $10 billion by 2028 in our Impact Report. 

As graduate funding rules change, uncertainty around how to pay for graduate education is increasing. To help students and institutions plan with greater confidence, Ascent has launched two new interactive calculators that bring earlier clarity to graduate school financing in this post-Grad PLUS environment.  Designed to surface potential funding gaps before enrollment decisions are finalized, the calculators help students better understand affordability and help schools evaluate how changes to Grad PLUS access could affect programs over time. Ascent’s Grad School Funding Calculator is designed specifically for students, while our Grad School Impact Calculator supports institution‑level planning—each focused on the decisions its audience needs to make.  By helping users identify gaps sooner, these calculators support more proactive financial planning for students, and more informed program‑level decision‑making for schools and financial aid officers.  Why Grad PLUS Planning Matters Now  For nearly two decades, Grad PLUS loans helped graduate and professional students borrow beyond traditional federal limits to cover the full cost of attendance. As access to Grad PLUS loans changes, students may find that federal aid no longer fully covers program costs, while institutions may see downstream effects on enrollment, yield, and program sustainability.  These changes make timing more important than ever. Students need earlier visibility into affordability, and institutions need better tools to model how funding constraints may affect programs over time. That’s where Ascent’s Grad PLUS calculators come in.  Introducing the Grad School Funding Calculator for Students  As graduate program costs continue to rise, many students are being asked to commit to enrollment before they fully understand how their education will be financed. The Grad School Funding Calculator is designed to close that gap by helping students assess affordability earlier in the decision‑making process.  Rather than focusing on repayment or interest rates, the calculator supports forward‑looking planning. It allows prospective and current graduate students to compare their available federal funding to the total cost of their program, so they can explore options before committing to enrollment.  How the Grad PLUS Calculator Supports Students  The Grad School Funding Calculator guides students through a short set of inputs that reflect the real components of graduate education costs and federal aid limits, including:  Program length, so estimates reflect the full duration of the degree  Annual cost of attendance, including tuition and living expenses  Expected annual cost increases, if applicable  Federal Direct Unsubsidized Loan limits, which are capped annually  Using this information, the calculator estimates the difference between total program costs and available federal funding, highlighting a potential funding gap students may need to address through other resources. These may include scholarships, savings, employer assistance, institutional aid, or private loans.  By surfacing this estimate early, the calculator helps students move from uncertainty to clarity, —providing a more informed starting point for financial planning and reducing last‑minute stress as enrollment decisions approach.  The Grad School Funding Calculator complements Ascent’s broader set of student support resources, including AscentUP, which provides financial wellness guidance, career readiness tools, and coaching to help students plan, progress, and prepare for life beyond graduation.  A Calculator for Schools: Helping Institutions Plan Ahead with Greater Clarity  For institutions, the implications of reduced Grad PLUS access extend beyond individual student access. Schools must understand how changes to graduate funding could affect enrollment, revenue, and long‑term program sustainability, —often before those impacts are visible in application or yield data.  The Grad School Impact Calculator is designed to support that planning. It helps institutions model potential funding gaps at the program level, using enrollment and aid data schools already track, so leaders can evaluate risk and plan proactively rather than react later in the cycle.  How the Grad PLUS Calculator Supports Institutions   The Grad PLUS Impact Calculator allows schools to enter key details about a specific graduate program, including:  Program type and length  Annual cost of attendance, with optional cost growth assumptions  Enrollment assumptions, such as cohort size, growth rate, and attrition  Historical aid mix, including the portion of funding previously filled by Grad PLUS  Schools can input information using either percentages or dollar amounts, with default assumptions available for institutions that don’t have exact figures on hand.  Based on these inputs, the calculator estimates the total amount of funding that would need to be replaced if Grad PLUS loans are no longer available to new borrowers. The result is a multi‑year projection that helps institutions visualize potential impact, assess exposure across cohorts, and plan enrollment and funding strategies with greater confidence.  Helping Students and Schools Plan Ahead  Together, these calculators are designed to meet users where they are, helping students understand affordability at the individual level while helping institutions assess impact at the program level.  They also complement Ascent’s broader set of student support resources, including AscentUP, which provides financial wellness guidance, career readiness tools, and coaching to help students plan, progress, and prepare for life beyond graduation as well as Ascent’s ROI calculator, which helps students understand the long-term return on investment of their education.   As graduate funding continues to evolve, earlier insight creates better options. By helping users identify potential gaps sooner, Ascent’s Grad PLUS calculators support clearer decisions —for students, for schools, and for the future of graduate education.  Learn More with Ascent  Navigating the student loan application process can be challenging, and Ascent is committed to providing students and families with the financial resources needed to pursue their dreams.      From financial wellness resources to our flexible private student loans and undergraduate student loans, we are here to help students and their families make informed decisions about their future in college, and beyond. 

For nearly twenty years, the Grad PLUS loan program has been a major pillar of federal financial aid for graduate and professional students. These loans allowed students to borrow beyond traditional federal limits and cover their full cost of attendance, including tuition, housing, books, and living expenses. For many, Grad PLUS was the bridge that made graduate school financially possible.  However, starting July 2026, new Grad PLUS loans will no longer be available under the One Big Beautiful Bill (OBBB) Act.   This pivotal change raises a central question: What will the end of Grad PLUS loans mean for the future of graduate education?  While the full impact remains to be seen, one word comes to mind: opportunity. Opportunity to innovate, rethink graduate funding, and build smarter, more sustainable solutions for students and institutions alike.  What’s Changing: New Federal Limits   Under the new law, federal borrowing for graduate students will be capped:  Graduate (Academic) Programs: $20,500 annual limit, $100,000 lifetime maximum  Professional Programs (Law, Medicine, etc.): $50,000 annual limit, $200,000 lifetime maximum.  Borrower Category Pre-OBBBA Limit New OBBBA Limit Undergraduate Stafford (Dependent) $5,500 - $7,500 per year; $31,000 aggregate Unchanged Undergraduate Stafford (Independent) $9,500 - $12,500 per year; $57,500 aggregate Unchanged Parent PLUS (Parents of Undergrad) Full Cost of Attendance $20,000 per year; $65,000 aggregate per student Graduate Stafford (Masters/PhD/MBA) $20,500 per year; $138,500 aggregate $20,500 per year; $100,000 aggregate Graduate Professional Stafford (MD/JD/DDS) $20,500 per year; $138,500 aggregate $50,000 per year; $200,000 aggregate Graduate Grad PLUS Full Cost of Attendance Eliminated All Federal Loans Combined No lifetime cap $257,500 lifetime cap  Previously, Grad PLUS loans allowed students to borrow beyond federal limits, filling gaps left by Direct Unsubsidized Loans. Once the program is phased out, students will need to explore other options, such as private loans, scholarships, or institutional aid, to fund their education. Financial aid offices will be crucial partners in helping students navigate these choices and stay on track with their goals.  A Brief Look Back: Grad PLUS and Its Impact  Grad PLUS loans weren’t just widely used; they shaped graduate education. While only 16% of graduate students rely on the program, Grad PLUS accounted for 32% of all federal graduate lending, showing just how central it became in helping students pursue advanced degrees. These loans were especially common in high-cost programs, with nearly a quarter of students in programs costing $25,000 to $70,000 using Grad PLUS, and that share rising to 30% for programs above $70,000, according to a 2024 report from the Georgetown University Center on Education and the Workforce.  Beyond helping students, Grad PLUS also influenced institutions. The availability of additional federal funds allowed schools to expand programs, support student opportunities, and invest in resources. However, research suggests that tuition increases sometimes offset the benefits of increased federal lending. Today, according to recent federal data, about 1.8 million borrowers hold Graduate PLUS loans totaling approximately $119.2 billion in debt, a scale that demonstrates the program’s significance and the magnitude of this transition.  What’s Next: A New Era in Graduate Funding  With Grad PLUS loans being phased out, graduate education is entering a new era, one that calls for creativity, collaboration, and thoughtful planning.  For Students  For students, this shift requires the exploration of a broader mix of funding options. Scholarships, grants, and institutional aid will play an increasingly central role in covering costs, while private loans can provide flexible solutions to bridge any gaps. Engaging early with financial aid offices can help students build a comprehensive plan, minimize uncertainty, and feel more confident about their financial path through graduate school. Thoughtful planning now can reduce stress later and ensure students can focus on their studies and career goals without unexpected financial obstacles.  For Institutions  The end of Grad PLUS loans is prompting schools to rethink how graduate programs are funded. Hybrid approaches that combine scholarships, grants, and external funding can help students cover high-cost programs without relying on a single source of support.  Institutions are also exploring ways to make aid more flexible and targeted, from directing resources where they’re most needed to offering modular programs or tuition schedules that let students progress at their own pace.  Partnerships with private lenders can further support students, offering customized loan programs, streamlined processes, and flexible repayment options. Some lenders provide resources beyond financing, such as career readiness tools, coaching, and internship opportunities, to help students graduate on time and launch successful careers.  By combining these strategies, schools can create funding systems that are clear, manageable, and tailored to student needs, helping students navigate the post-Grad PLUS world with confidence.  For Private Lenders  As federal aid changes, private lenders can play a key role in supporting the graduate funding landscape post-Grad PLUS. Thoughtful partnerships open the door to solutions like customized loan programs, flexible repayment options, and streamlined processes that reduce administrative hurdles. Many lenders also provide additional support, offering resources including financial wellness tools, career readiness programs, and internship opportunities to help students successfully complete their programs and transition into their careers.  When considering private student loans, it’s important to choose a lender that’s transparent about rates and fees, offers flexible repayment options, and provides responsive support throughout your borrowing journey. Look for lenders who prioritize student needs, allow for cosigner release, and offer benefits like autopay discounts or hardship protections. Avoid companies that aren’t upfront about terms or make unrealistic promises, and always research reviews to ensure you’re partnering with a trustworthy lender who will support your goals from enrollment to repayment.  Check out our Guide to Choosing the Best Private Lender here, for more information.   Final Thoughts  The end of Grad PLUS is a moment for all stakeholders to think strategically, plan proactively, and embrace flexible solutions. With careful planning, collaboration, and thoughtful use of available resources, the post-Grad PLUS world can be a time of smarter, more sustainable funding that helps students pursue their education and institutions maintain vibrant, accessible programs with student success at their forefront.  About Ascent  Ascent is a mission-driven fintech company committed to redefining student lending through a focus on access, affordability, and lasting economic impact. Backed by institutional capital, we offer innovative loan options for college and career training programs—helping more students qualify, with or without a cosigner.  But funding is just the start. From career readiness tools to financial wellness resources to over $330,000 in no-essay scholarships, everything we build is designed to turn education into real opportunity. 

With Grad PLUS loans ending for new borrowers in July 2026, the private loan market for grad students has shifted fast. Lenders are competing harder for your business, rates vary widely based on your credit, and you've got more options than ever if you know where to look.

With Grad PLUS loans being phased out, graduate students and schools are facing new choices and considerations. While this transition brings some uncertainty, it also opens the door for schools to find new ways to guide and support students as they plan for their educational future.