Understanding
your
Financial Aid

Understanding Financial Aid

Don’t Get A Degree In Debt

Your parents may have graduated without student loans – but that’s old-school these days. College costs have gone way up. In fact, according to Bloomberg, college tuition and fees have increased 1,120 percent since records began in 1978.

So is college worth it? We say YES! College is an investment in your future. College graduates continue to average higher incomes than people with high school diplomas alone—84% more according to the U.S. Census Bureau.

How can you minimize the amount you borrow to cover the hefty price of a degree?

Info And Advice

What You Need To Know About Qualifying For Financial Aid

Many students think they won’t qualify for financial aid because their parents’ income is too high. This is a costly misperception because there’s actually no income cutoff to apply. Plus, federal student loans fall under the category of “financial aid.”

That’s why every student – we repeat, “every student” – should complete the Free Application for Federal Student Aid (FAFSA):

  • The FAFSA is used to determine whether you’re eligible for grants, scholarships, work-study programs – and federal student loans. Many types of loans are available, so as long as you meet some basic eligibility requirements, you can qualify for a federal student loan – even if you don’t demonstrate a financial need (i.e., Direct Unsubsidized Loans). Apply online at fafsa.edu.gov.
  • After you submit the FAFSA, you’ll get a financial aid award letter from the school(s) where you’re accepted. The letter will tell you how much financial aid you’ll receive in the form of scholarships or grants (if applicable), and the amount you’re expected to provide through work or savings.

Still Need Money? Check Into A Private Student Loan

Students and parents may use private student loans to “close the gap” between grants and scholarships, federal student loans, work-study and the total tuition bill.

While these loans don’t have all the protections and benefits of federal student loans, they can still be a great option — as long as you don’t borrow more than you need. For many families, private loans can have better rates and fees than Federal PLUS loans.

Tips To Make Finding And Applying For Financial Aid Easier

READ: FINANCIAL AID FAQS

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