Commonly Used Financial Aid Terms
Paying for law school can feel daunting enough. Here's a quick reference guide so you don't need to figure out all the acronyms and terms yourself.
Federal Government
OBBBA or OB3
One Big Beautiful Bill Act, the federal policy and spending bill passed by the U.S. House of Representatives and Senate and signed into law (Public Law 119-21) by President Trump on July 4, 2025
FSA
Federal Student Aid – Office of the Department of Education
ED
Department of Education
Financial Aid Administration
FAFSA
Free Application for Federal Student Aid
SAI
Student Aid Index – Replaced the EFC or Estimated Family Contribution. This is a formula-based index number that helps determine a student’s financial need.
COA
Cost of Attendance – The total cost to attend that institution for one academic year (direct expenses such as tuition, fees, and living expenses)
PJ
Professional Judgment – An adjustment to a student’s cost of attendance based on special circumstances considered on a case-by-case basis
Loans, Loan Repayment, and Forgiveness
Private or Alternative Loan
An educational loan from a bank, credit union, private or nonprofit lending institution
PLL
Preferred Lender List – A list of private lenders that are endorsed by the school. Schools offering a PLL must adhere to strict federal regulations in building and maintaining their list.
Historical Lender List
A list of private lenders maintained by a school that lists all lenders that students have borrowed from within a specific timeframe
IDR
Income-driven repayment – An umbrella term for federal repayment plans that base monthly payment on student income and family size (currently SAVE, PAYE, ICR, IBR)
SAVE Plan
Saving on a Valuable Education Plan
PAYE
Pay As You Earn Repayment Plan
ICR
Income-Contingent Repayment Plan
IBR
Income-Based Repayment Plan
RAP
Repayment Assistance Plan – The new income-driven repayment plan introduced via the One Big Beautiful Bill Act
PSLF
Public Service Loan Forgiveness
LRAP
Loan Repayment Assistance Program
Take the Course for More Tips
Law school is a significant financial investment, and figuring out how to pay for it can be complicated. While there are various financial aid resources and scholarship opportunities available, everyone's situation is unique. Learn about your options in How Do I Pay for Law School? (After June 2026), an engaging course designed to help you approach planning for and paying for law school with confidence.