The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Information on this website may not be current. This website may contain links to other third-party websites. Such links are only for the convenience of the reader, user or browser; we do not recommend or endorse the contents of any third-party sites. Readers of this website should contact their attorney, accountant or credit counselor to obtain advice with respect to their particular situation. No reader, user, or browser of this site should act or not act on the basis of information on this site. Always seek personal legal, financial or credit advice for your relevant jurisdiction. Only your individual attorney or advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, contributors, contributing firms, or their respective employers.
Credit.com receives compensation for the financial products and services advertised on this site if our users apply for and sign up for any of them. Compensation is not a factor in the substantive evaluation of any product.
Many colleges and universities are releasing their financial aid awards and loan packages to students this time of year, and depending on your circumstances, their decision just might not cut it. Here’s how to navigate the financial aid process, and help you make ends meet.
Before you can ask for more help, it’s imperative that you complete the initial application process as quickly and efficiently as possible. First of all, use the free, official website for the Free Application for Federal Student Aid, fafsa.ed.gov, not another site that may charge you to fill out your information.
Keep in mind that each state has a different deadline when it comes to filing your FAFSA, and every university operates on their own individual schedule as well. Be sure to research the timelines and be sure to stay in contact with your school’s financial aid office. Many institutions have a policy that awards are made until funds are depleted, so the earlier you submit your information, the better.
While you might think you’re negotiating, it’s counterproductive to use that term during the actual process. Instead, go for gentler phrases, like asking for a review, re-evaluation or reconsideration to your award status. Financial aid counselors ultimately want to help students meet their need — they’re on your team, so treat them as such.
In the same vein, one rather controversial practice in the financial aid process is to bring other schools’ financial aid offers to the table and ask for a matching package. This may be of particular relevance to incoming freshmen, whose offers from other institutions are still fresh from decision day, but there are many sources of advice that fall on either side of the debate. Some say it may help put your desirability as a student in focus, but keep in mind that this type of bargaining may strike some counselors as aggressive. If you do use this tactic, make sure that you broach the subject in a respectful manner to a counselor with whom you’ve established a working relationship — never just slap another university’s financial aid letter on the table and demand a price match.
Though the financial aid application is comprehensive, it doesn’t tell your whole story. Awards from the FAFSA are calculated based on the previous fiscal year, which means that recent changes to your situation aren’t always factored into the final decision.
While most adjustment happens around the time the packages are released, it’s not uncommon for circumstances to change and mid-year re-assessments to occur. The financial aid office at your institution is open year-round, and can re-evaluate your standing at nearly any point. Extenuating circumstances such as medical bills, divorce, unemployment, or loss of income inevitably change a family’s ability to afford tuition, and the financial aid office should know about any of these situations.
Tuition hikes can also change your financial capabilities from year to year. If the price tag for your education has hiked over the years, ask your counselor if your award package can be adjusted to reflect that change.
Little things that you might accidentally overlook are actually crucial when it comes to paying for school. You have to pay attention throughout the entire complicated process. Everything from overstating the student’s income, to emphasizing non-essential outside costs, even down to forgetting to sign the forms, can play a huge role in the end result of your financial aid. It pays to double and triple-check before you hit submit.
The type of aid you receive matters as well. Federal PELL grants don’t have to be paid back, while loans certainly do! Merit-based and need-based awards differ slightly, and oftentimes schools give special consideration to students who have excellent academic records, participate in competitive sports, or even have relatives that attended the same institution. You can also ask about work-study or employment programs for extra cash.
Remember that financial aid offices are there to help you make your educational goals attainable. They need to know your situation in order to help, so don’t be shy or embarrassed in sharing pertinent information with your counselor. Every little bit helps.
Image: Stockbyte
August 26, 2020
Student Loans
August 4, 2020
Student Loans
July 31, 2020
Student Loans