Paying for College

If you want to go to college but can’t afford to pay for it, don’t worry, most other students can’t either. Almost all students who go to college are going to need some form of educational financing, otherwise known as, Financial Aid. The most common forms of financial aid available are: grants, scholarships, work-study, and student loans. We’ll take a brief moment to discuss each of these forms of aid.

Grants

This is one of the best kinds of financial aid available because it’s FREE money. In other words, you don’t have to pay a grant back when you are done with college. Grants are based off need so if you’re a pretty needy person, you’ll most likely be given some type of grant to cover the cost of your education. Unfortunately, because most college students must use their parents’ income as part of the financial aid process, grants will not be given if no need is determined. There are Federal Pell Grants and then there are Federal Supplemental Educational Grants, which is for students with an exceptional financial need. The other downside to a grant is that there’s only so much to go around. You’ll need to apply early by using the FAFSA, or Free Application for Federal Student Aid, as early as possible. The sooner that you apply, the sooner your college of choice will be able to determine if you do indeed qualify for a grant, and how much you will be given. The last downside to a grant is that it may not pay for all of your tuition and fees for an entire year, let alone much of the other costs of attendance. Even though grants are limited and will not pay for every cost associated with college, it’s best to have as much free money as possible to finance your education.

Scholarships

The next type of financial aid available is a scholarship or a combination of many scholarships. This is another type of financial aid that is FREE and does not have to be repaid. There are many nationwide scholarships available that one can search for and apply for online. You can search online by simply typing in ‘scholarships’ and search or you can use a service such as FastWeb to find scholarships that fit your needs. Just remember that since scholarships are free, you should never have to pay to find them. There are also regional and local scholarships available for graduating seniors and college students. Plus, most colleges have their own scholarships set up and you can contact your schools financial aid department to find out how to apply for them. Oftentimes, scholarships are competitive and require a student to have high academic achievements, athletic abilities, community service efforts, or demonstrate financial need. Generally, scholarships that provide a substantial payout, are highly competitive; therefore, most students find that scholarships will not pay for the entire cost of attendance.

Work-Study

Another type of financial aid is called Work-Study. This federal program provides jobs to students who want to work during college to help offset the cost of attendance. Work-study jobs are for students who demonstrate financial need and pay at least the minimum wage, if not more. Federal work-study jobs can be on campus and they can be off campus. However, work-study jobs are for only a limited amount of hours per semester and your hours cannot exceed your work-study award amounts. Award amounts are determined by information that is filled out in a student’s FAFSA.

Loans

The last type of financial aid discussed here is an educational loan. Loans that help cover the cost of attendance are categorized three different ways. There are student loans, parent loans, and private student loans. The student loan includes the Federal Perkins Loan and Stafford Loans. Parent loans include such loans as PLUS loans. Private loans are for students and are also referred to as alternative student loans. Each has its own set of rules and requirements but it all starts with filling out your FAFSA. The most important thing to remember when considering loans to cover the cost of your education is that they are NOT free and they MUST be paid back. There are several repayment plans available to those who accept loans and there are even situations where a student, upon graduating, can work in a particular field to qualify for some form of loan forgiveness.

The most important thing a person who is considering going to college can do is to fill out the FAFSA. It’s free, it’s easy, and it’s also entirely available online. No more paper forms, mailing back and forth, and FAFSA’s are generally processed much faster now that they are available online. If you need help covering the cost of your education, even if the school year has already begun, you NEED to fill out your FAFSA right now at www.fafsa.ed.gov