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Unfortunately, recent research suggests that many students are not provided clear, concise, and accurate information they need to fully understand the financial implications of the choices they have made. Department of Education’s Federal StudentAid office.
What You Have to Pay Back: LoansLoans are the money you borrow to help pay for school, but remember: this is money youll have to repay, with interest. There are federal studentloans, which often come with lower interest rates and better terms, and private loans, which can vary in cost.
Ive seen how early preparation can help families make more informed decisions. Not only that, but it helps to reduce the stress that often comes with college applications and financialaid. Have a candid discussion about your familys financial situation. Visit Colleges If possible, visit some college campuses this summer.
For students preparing to apply for financialaid, the Free Application for Federal StudentAid (FAFSA) is a crucial part of the process. With recent changes to the FAFSA process, it’s important to stay informed about whats going on. Submit your application as soon as you can!
Gather Your Documents The FAFSA asks for a lot of personal and financial info, so it’s best to have everything ready before you start. The FAFSA will pull your tax information from the IRS, but it’s good to have other documents ready. Personal Information: This includes your name, address, SSN, and more.
Here are a few key things you should know to maximize your financialaid opportunities: Understand Dependency Status : Your dependency status determines if you need to provide parental information. Most students under 24 are considered dependent, and require their parents’ financial details.
This confirmation will include a StudentAid Report (SAR) , which summarizes the information you provided on your FAFSA. Its important to review this report for any errors or missing information. The schools financialaid office will then use this information to create a financialaid package for you.
However, it is so important to understand the various acronyms and terms you’ll see in applications, on paperwork, and in your financialaid offer letters. Otherwise, you’re unable to make informed decisions with your family about how to pay for school!
While loans, work-study, and grants are the main components of most financialaid packages, your award letter should include some other information. Understanding loans, work-study, and grants in your financialaid package is crucial to making informed decisions about paying for college.
Colleges often send out different offers with varying amounts of financial support, and it can be tricky to figure out which one is the best deal for you. Heres a step-by-step guide to help you make an informed decision about your college financialaid package. Also, pay attention to the interest rates on loans.
This means you can compare not only the acceptance offers from multiple schools but also the financialaid packages that come with them. This timing is crucial for making a fully informed decision about which school fits your academic and financial needs.
Borrowing studentloans is a significant financial decision that can have long-lasting implications on your student’s future. While loans can help make higher education more accessible, it’s crucial to approach borrowing with careful consideration and awareness.
Here are a few reasons why: Changes in Your Financial Situation: If your family’s financial situation has changed due to factors like a job loss, medical expenses, or other hardships, you may be eligible for more aid. Schedule a 15 Minute Power Chat to learn more about finding ways to pay for college.
The timing of your application—whether you choose Early Action or Regular Decision—can influence both the financialaid options available to you and your ability to make a fully informed decision. With Early Action, you may receive your admission decision in December, but financialaid offers often won’t arrive until later.
If the enrollment deposit is a financial burden, reach out to the admissions or financialaid office. Your Student Portal and Email This will become your new communications hub. Colleges will send important information about housing, orientation, tuition bills, and financialaid herenot to your personal email.
This is especially helpful for students and families who want time to evaluate their financialaid packages from multiple schools before making a final decision. If you’re applying to schools that offer need-based financialaid, early action gives you time to weigh your options.
By the end of your visits, youll be well-equipped to make an informed decision on where to applyand where youll likely thrive. More about Jodi and College FinancialAid Advisors Jodi is a FAFSA financial advisor who helps with the financialaid process to help families of college students maximize their financialaid.
Blogs Your studentloan payments are due: 3 strategies to support community college students’ financial wellness When I think back to my time in college, studentloans were something that nearly everyone had, but not something any of us fully understood. They were a necessary evil to be addressed “later.”
Dont Forget About Your Colleges FinancialAid Office Each college has its own financialaid office that can help you understand what aid is available at their school. Be sure to reach out to these offices for information on scholarships, grants, and the application process.
Attend an info session: Many colleges offer information sessions that give more in-depth details about admissions, financialaid, and campus life. Take notes and photos: Its easy to forget details after a few visits, so jot down your thoughts and take pictures of things you liked (or didnt like).
Once you complete the FAFSA (Free Application for Federal StudentAid), you’ll receive a SAR or StudentAid Report. This document summarizes the information you submitted on your FAFSA. It’s important to review the SAR for any errors that could affect your financialaid package. What Is SAR?
However, one tool that can make this journey smoother is often right at your student’s fingertips: the college portal. Your student’s ability to regularly monitor their college portal is essential to their application process, especially when it comes to staying updated and informed about financialaid tasks and deadlines.
Updates to the FAFSA Have Delayed College FinancialAid for Millions The Free Application for Federal StudentAid (FAFSA) has undergone some major updates for the 2024-2025 application cycle. Unfortunately, many families and students are wondering exactly where the FAFSA is. Still Want More Help?
Be sure you know how much of each financialaid offer comes. You’re likely to see scholarships and grants you will not have to repay, and studentloans that you will have to repay. Make one last effort at increasing financialaid Remember, the colleges are looking at financialaidinformation from the last year.
With the FUTURE Act Direct Data Exchange (FA-DDX) (replacing the previous IRS Data Retrieval tool), a lot of information will be pulled from your family’s federal tax returns. Take your time, double-check your information, and don’t hesitate to ask for help if you need it!
Supply all requested information: If any of your financial applications were selected for verification, you must get all the supporting documentation to the school in a timely manner so they can make a final decision regarding your financialaid. Review the differences between private and federal loans.
Gather Social Security numbers, driver’s license information, and income/investment information. They will be using the FUTURE Act Direct Data Exchange to gather information from your last tax return, but it won’t hurt to have the other information on hand.
To help you understand the financialaid landscape and make informed decisions as a college-bound student (or with them as a parent), I’ve put together a glossary of the most common financialaid terms and their meanings. LoansLoans are borrowed funds that must be repaid with interest.
From this amount you can subtract the amount of financialaid most students receive that does not have to be repaid, such as grants and scholarships. What are my chances of realistically being able to repay my studentloans? What else do you suggest for students in my particular situation?
FAFSA Overview The FAFSA is your gateway to federal financialaid, including grants, work-study programs, and loans. Nearly every college requires it, and it’s used to determine your family’s financial need. Now, you’ll get that information in the StudentAid Index.
Requirements: List the specific requirements for each scholarship, such as essays, letters of recommendation, transcripts, and financialinformation. Include important details such as: Deadline Dates: Note down the deadlines for each scholarship you plan to apply for.
Explore scholarships, grants, and studentloans, and don’t hesitate to reach out to the financialaid office for guidance. Remember to review any payment requirements with your student so they know what they’re responsible for.
Students can learn about financial responsibility from managing everyday expenses and planning for major purchases and investments. Here’s a comprehensive guide to help students grasp the fundamentals of credit and debt and make informedfinancial decisions. What is Credit?
Once that is in place, start gathering the following documents and information: Social Security Numbers for students and parents, or Alien Registration Numbers for non-U.S. Independent students will only have to provide their personal information, while dependent students will need to provide it for themselves and their parents.
But youngsters who don’t understand the value of money grow up to be college students who graduate with heavy studentloan debt. It’s important to have a money talk with your student(s) early on. Some parents think the responsibility is theirs, or don’t even understand these concepts themselves.
One thing that has not changed about the FAFSA is that any current high school senior who plans to attend college in the fall and any current college students should still file the FAFSA. As a reminder, the FAFSA gathers information about your financial needs so your student can be offered work-study, grants, and studentloans.
During the application, families will give consent to the Department of Education to send their identifying information to the IRS, who will match up records and retrieve the necessary financialaidinformation for the FAFSA. Families must consent to be able to receive financialaid.
It’s calculated based on financialinformation provided in the FAFSA or CSS Profile and helps determine your eligibility for need-based aid. Here’s a few terms that might come up on the documents: Expected Family Contribution (EFC): This is the amount your family is expected to contribute toward your education costs.
Key Milestones for Scholarship Search Early High School: While not typically applying for scholarships at this stage, students can start exploring what scholarships are out there and begin to understand what might be required in the future. This is helpful to simply gather information and learn what options might exist.
February is one of my favorite months of the year because it’s National FinancialAid Awareness Month. Throughout this month, all of us in the higher education community make an extra effort to provide even more information about how to use and access financialaid for college.
Remind your student to head to the financialaid office, look online, or contact lenders directly to find out exactly how much money was borrowed, when payments start, what the monthly payment amount will be, and if there are any income-based repayment plans.
In addition to being the first to qualify for aid, an early application leaves you time to correct errors or submit any additional information required. Be prepared for the possibilities Applying for admissions and financialaid is a lot like many of the other situations – sometimes things will go your way and sometimes they won’t.
The end of summer is also a wonderful time to review your resume and collect information on your grades, volunteer work, and job experience – all of which you’ll need to complete applications. Research and understand application requirements: I know that applications, particularly for financialaid, can feel really overwhelming.
One of the most popular studentfinancialaid programs managed by the U.S. Education Department (ED) is the Public Service Loan Forgiveness (PSLF) program, and it’s easy to figure out why. As is the case with other financialaid programs — the devil’s in the details! Eligible StudentLoans and Payment Plans.
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