Loans for Graduate & Professional Students

This web-page aims to provide Graduate & Professional students with tangible action steps and helpful reflection prompts to better navigate the educational loan landscape. The information on this page breaks down the borrowing process as follows:

• Understanding your initial aid offer
• Determining your borrowing needs
• Reviewing available loan and lender programs
• Introducing the application process
• Highlighting additional considerations before borrowing 

Understanding Your Aid Offer 

WHAT IS YOUR INITIAL FUNDING?

Upon acceptance to Duke, students will receive an overview of the initial financial aid available to them. Whether in the form of a financial aid estimate or an official financial aid offer, this will include any scholarships and grants you have qualified for, as well as the amount in Federal Student Loans you are eligible to borrow. Note that borrowing limits for federal loans will change significantly for new borrowers who will not receive a federal loan disbursement before June 30, 2026 that is associated specifically with their enrollment at Duke. 

Students may see a placeholder in their notice of financial aid indicating how much remaining eligibility they have to seek out and secure funding before they have reached their limit in financial aid, which is the equivalent of your specific program's Cost of Attendance. See below for a Sample Aid Offer. 

With outside scholarship and grant opportunities being limited, it is more common for Graduate & Professional students at Duke to rely on loans for their remaining funding needs.

Sample Aid Offer

Graduate Student; Cost of Attendance is $90,500

*Some students may see a placeholder in their financial aid estimates/offers to demonstrate how much aid eligibility a student has remaining before being at the Cost of Attendance. Students are not required to have financial aid up to the COA, but for individuals that will need to use the maximum aid allotted, you are RESPONSIBLE for finding and securing these additional funds outside of the aid you receive in your initial offer from Duke. 

Determining Your Borrowing Needs

what are your actual costs as a student?

As noted previously, a student's financial aid is typically offered up to Cost of Attendance. While that is the maximum a student may receive in total financial aid, that may not be representative of your actual costs at Duke. The Cost of Attendance is comprised of two types of expenses: 

• Direct/Billable Costs
  Expenses that are due directly to Duke and billed via your Bursar account. This includes costs such as tuition, student fees, and health insurance.
• Indirect/Non-Billable Costs
  Items that are accounted for in the Cost of Attendance, but are not directly billed to you from the university. With most Graduate & Professional students living off-campus, this will include things like housing, food, and estimates for transportation.

If you are eligible to waive Duke's required Health Insurance or you find a way to reduce your living expenses, you subsequently decrease the total amount of financial aid and funding you need to cover your costs. 

Before thinking about your options for loans and other financing, take time to understand your actual expenses and costs as a student:

• Complete Duke’s Budgeting Tool
  This will help you estimate your total Cost of Attendance, including tuition, fees, housing, food, and other required expenses.
  • Click on this text to use the Budgeting Tool
• Review the Health Insurance Waiver requirements
  Students who already have medical insurance may be able to opt out of the Duke Student Medical Insurance Plan (SMIP) by submitting a waiver request.  To ensure students have adequate, in-network coverage here at Duke, your existing insurance must meet specific criteria in order for that waiver request to be approved.
  • Click on this text to review the waiver requirements
• Look for ways to reduce living expenses
  Even small changes—living with roommates, relying on Duke transportation, or proactive meal planning—can reduce how much you may need to borrow. Looking for resources to help maximize your dollars and minimize expenses? Check out DukeList- think Facebook Marketplace or Craig's List for members of the Duke community- as well as the Duke's Off Campus Housing Website- a streamlined platform to review housing options and even connect with other students looking for roommates!
  • Click on this text to visit DukeList (requires Duke NetID to access)
  • Click on this text to visit Duke's Off Campus Housing site

Identifying Your Loan Options

WHAT ARE MY OTHER CHOICES FOR LENDERS & LOAN PROGRAMS?

Before highlighting other types of lenders, it is important to note that most students will exhaust their eligibility for Federal Student Loans before utilizing Private Loans. Federal Loans do not require credit checks or co-signers, and have more flexibilities and safety nets available to borrowers during repayment. 

Whether you want to compare all of your borrowing options before committing to one loan type over another, or know you will need to utilize loans beyond what you have been offered in your initial financial aid package, this section highlights the differences between the other primary types of loan programs & lenders: State-Backed Lenders and Financial Institution Lenders. 

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State-Backed Loans 

Outside of Federal Student Loans, another borrowing option comes through State-Backed Loan programs. These loans are offered by non-profit organizations that work closely with their respective government counterparts to provide educational resources and support to students and their families. In addition to traditional student loans, some state-backed programs may also provide scholarship opportunities, forgivable loan programs, and educational webinars. 

Common terms, conditions, and other features of State-Backed Loans include: 

• Credit Requirements- An established credit history, with borrowers needing to demonstrate a certain level of creditworthiness, typically by meeting a minimum credit score requirement and/or obtaining a co-signer that meets the credit requirements.
• Interest Rates- State loans generally have a smaller range of possible interest rates, which can help in the early stages of research when trying to determine the overall cost of the loan.
• Borrowing Limits- Smaller or regional lenders, including some state-based programs, may have more restrictive annual and/or aggregate borrowing limits. Check to see if the loan program has a set cap or will lend up to the Cost of Attendance.
• Repayment Terms- These programs tend to be limited in repayment options, with many lenders only providing a singular, standard repayment term of 10 years.

Financial Institution Loans

Financial Institution Loans are programs offered through banks, credit unions, or commercial lending organizations. 

Common terms, conditions, and other features of these loans include:

• Credit Requirements- While a select few may take into account things like GPA and job prospects after graduation, private loan options are typically based solely on credit. It is common for students to acquire co-signers to help improve their odds of approval as well as increase the likelihood of receiving a lower rate.
• Interest Rates-For borrowers and their co-signers with very good to excellent credit, these loans may result in some of the most competitive interest rate offers available. However with such a wide range of possible rates, it may be difficult to know exactly where a borrower will get approved at until they go through the formal application process.
• Discounts & Other Benefits- Reductions in interest rates may be available for things like repeat borrowing, achieving a certain GPA, and graduating from your program on-time. Private lenders may offer multi-year approval and other ways to streamline the application process from year to year. Similarly, private lenders might also offer other consumer products, and some appreciate being able to build relationships with financial institutions for future financial needs (banking, saving, other borrowing etc.).
• Repayment Terms- Private lenders typically have more options for repayment, commonly available in 5, 10, 15, or 20 year terms.
• In-School Payment Agreements- Borrowers opt-in to modified payment agreements while in school, like interest-only payments or a low, fixed payment (ie. $25/month). Although these payment agreements may provide some savings on a borrower's interest rate, it is important to read the terms of an in-school payment agreement as missed payments could have serious consequences, such as negative credit reporting and even the cancellation of future disbursements.  

Tools for Researching Lenders

what resources can i use to find the loan that is right for me?

Before you review the highlighted resources, remember that as a borrower, you are able to “shop for rates”- apply to more than one lender in a given timeframe to receive multiple offers. Typically, borrowers may apply with 2-3 lenders over a single 2-week time span. Each application will only count as one “hard inquiry” towards an individual’s credit. Multiple hard inquiries can have a negative impact on someone’s credit. 

Alternatively, some lenders may be able to provide an overview of the terms of your loan, including approval and range of possible interest rates, by performing a “soft inquiry”- a credit assessment used to pre-approve or pre-qualify a prospective borrower without a formal application and with no impact on an individual’s credit. 

By shopping for rates and comparing terms offered by lenders, you can make a more informed borrowing decision. The list below highlights common loan terms and borrower benefits worth considering as you narrow down what features are most important to you as a borrower. This list can also be used in conjunction with the Loan Comparison Tool in the “Additional Resources” section of this page: 

• Borrowing Amount- How much can I borrow?
• Interest Rates & Fees- What is the cost to borrow?
• Credit Check Impact- Does the lender offer a “soft inquiry” or only a “hard check” for credit purposes?
• Duration of Credit/Approval Decision- If approved, how long is the credit decision good for before it expires and I have to re-do the process?
• Co-Signer Release- For loans with a co-signer, are there options or criteria for eventually releasing the co-signer from the loan?
• Borrower Discounts- Are there instances where I could save money on borrowing costs, such as reductions on the interest rate or statement credits toward my loan balance?
• Repayment Options- What choice do I have in paying back the loan?
• Repayment Affordability- Are my estimated payments affordable?
• Flexibilities During Financial Hardship/Unique Circumstances- Am I able to pause repayment if I lose my job? What happens to my loan if I take a Leave of Absence during school? 

APPLYING FOR YOUR LOAN

what DOES the OVERALL PROCESS LOOK LIKE?

Once you’ve determined which loan programs you will use and how much you plan to borrow:

• Submit applications for each loan program
• Complete all required documents, such as disclosures and promissory note
• Monitor your Duke student account for loan certification, disbursement, and refunds if applicable

Review the flowchart below for a complete overview of the student loan process!

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Recommended Action Steps 

what should I do to prepare before i borrow student loans?

• Review your initial financial aid offer 
  Confirm your Cost of Attendance and verify Federal Loan eligibility
• Determine your costs and borrowing needs
  Use Duke's Budgeting Calculator and look for ways to reduce your living expenses
• Research available loan & lender options
  Use the Recommended Lender List and other highlighted resources to compare borrowing options
• Prepare to apply
  Review your credit report, know your credit score, and start having conversations with your support systems to see if you have access to someone who can serve as a co-signer if needed
• Submit your application(s), accept your best loan offer, and complete all required documents
  Monitor your Duke student account for loan certification, disbursement, and any refunds when applicable

Additional Loan Resources