Taking a Bite Out of Federal Dental School Loans

If you are planning to start dental school in 2026 or later, the way students pay for school is about to change. Federal loans that once covered nearly all costs will soon fall short for many programs. This does not mean dental school is out of reach, but it does mean planning earlier matters more than it used to.
 Here is what is changing, why it matters, and how to prepare without panic.

Beginning July 1, 2026, federal Graduate PLUS loans for new borrowers are eliminated. These loans previously allowed dental students to borrow up to the full cost of attendance, including tuition and living expenses.
 
Under the new rules, federal borrowing for graduate and professional students is capped at $50,000 per year, $200,000 in total for a degree program, and $257,500 lifetime, including undergraduate and other graduate loans.
 
For many dental programs, total costs can exceed these limits by a wide margin once tuition, fees, instruments, exams, and living expenses are included. The key shift is simple. Federal loans may no longer cover the full bill.

Dental school costs are not going down, but federal coverage is. That gap may need to be filled with a combination of scholarships and institutional aid, savings or family support, and private student loans.
 
Private loans are not inherently bad, but they work differently than federal loans and require more preparation.

Federal loans are standardized. Private loans are not.
 
Private loans typically rely on credit-based underwriting, often require a cosigner, offer rates that vary by borrower profile, and do not qualify for federal income-driven repayment or Public Service Loan Forgiveness.
 
This means lenders look at credit history, timing, and overall risk, not just enrollment status. The good news is that dental students often have strong long-term income prospects and low attrition, which can help. Preparation still matters.

Some students assume they will figure financing out after acceptance, but waiting can limit options and increase borrowing costs. 

Others assume federal loans will still cover everything, which will not be true for most dental programs after 2026. There is also a belief that all private loans are the same, when in reality rates and terms can vary meaningfully based on credit and timing.

You do not need to become a finance expert. A few early actions can make a real difference. Build or maintain credit in your own name, pay all bills on time and keep balances low, avoid unnecessary credit applications, and identify potential cosigners early if needed.
 
It is also important to map each school’s cost of attendance against the new federal caps and apply broadly for scholarships and institutional aid. Knowing your likely funding gap before enrollment helps you plan instead of react. Tools like budgeting or loan calculators can help estimate how much borrowing you may actually need.

Large private balances can influence decisions after dental school, including where you practice, how aggressively you repay loans, and how much financial flexibility you have early in your career.
 
The goal is not to avoid borrowing entirely. It is to borrow intentionally so debt supports your career rather than steering it.

Juno is a group negotiating platform that helps dental students access lower private loan rates. By pooling demand, students often see better terms than they would on their own, with no fees and no obligation to borrow.
 
Members of Juno’s Dental Negotiation group are alerted when loans for the 2026–2027 academic year are negotiated and can check rates with no impact to their credit score.

Dental school remains a strong investment for many students. What has changed is the margin for error.
 
With federal loan caps taking effect in 2026, students who plan ahead tend to keep more control over their finances and their future. Preparation does not eliminate uncertainty, but it replaces surprise with confidence.