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Does anyone know what happens if you submit a binding deposit and are then unable to attend due to financial reasons (ex. credit not good enough for grad plus and no co-signer)? Would you be able to say, retake the LSAT and try again the next year, or are you put on some sort of blacklist?

If you decide not to attend after making a binding deposit, you cannot attend any law school for '10-'11 and lose your deposit. Some places have partial refunds depending on the date you withdraw.

You can reapply the next year, with or without retaking the LSAT.

Thank you for your quick response!! So noone will try to recover the cost of tuition from me or anything like that? I know the deposit is non-refundable, but I just don't want to get roped in and not be able to afford attendance. I really wish they would pre-qualify people for plus loans. That would make me a lot more comfortable.

How do you know if a school's deposit is "binding"/ which schools' deposits are binding?

Read the fine print? Call and ask?