When, Where, And How To Apply For Aid
Before you apply for any type of financial aid, you must complete the FAFSA (free application for federal student aid) form. This form is required by federal law, and may be obtained from the financial aid office at the college or university of your choice, or if you wish, you may complete the form on-line at www.fafsa.ed.gov.
It is wise to complete the FAFSA as quickly as possible. The need analysis process for financial aid uses the family's income and tax information from the most recent tax year (base year) to judge your eligibility for need-based financial aid during the upcoming academic year (the award year). Since the base year ends December 31, you cannot submit a financial aid application until January1. If you submit the financial aid application before January 1, it will be rejected.
Preparing for College Costs
In order to best prepare for college, a family needs to understand the cost of college and associated fees, including books, student fees and required class materials. Too often, people look at the tuition fees of a school and don’t consider the associated fees. It’s those fees that really add up. To help defray these costs, students and parents should learn all they can about financial aid.
Financial aid is the monetary difference between what the family can afford and the total educational expenses. In the past, many people considered financial aid to be grants and scholarships. However, more and more people are adding student loans into that equation. With an increasing number of students applying for a decreasing number of grants, many students turn to student loans to help finance their education. With a student loan, the student doesn’t have to take a year off or work while taking a full load of classes.
There are three primary types of financial assistance: grants and scholarships, work-study loan programs and student loans. Grants and scholarships are only a small part of the available funds. The work-study loan program gives students a chance to earn money by working for the school they are attending. Most financial aid comes in the form of student loans. Security Service offers two types of student loans to our members: Federal Stafford Loans and Federal Parent Loans for Undergraduate Students (PLUS). When applying for financial aid, starting with the Free Application for Federal Student Aid (FAFSA) is a great first step. The application will automatically calculate eligibility for all grants and loans. This process can be time consuming and students should consider this when applying for any type of financial aid.
