A College Student's Guide to Financial Aid Options

Attending a postsecondary institution can be very rewarding, but it can also be expensive. It is a reality that the cost of education continues to rise. If you want to receive a good college education, you will definitely have to pay for it. However, there is an abundance of financial assistance available through the government for those who have a need for it. So, even if you do not have the money to pay for college, there is money out there that practically every student can benefit from in some kind of way. Do not let the lack of money stop you from pursuing your dreams. You might be surprised at how much assistance you can receive towards your education.

Every year, many students receive money from federal student aid programs. Federal student aid comes in the form of grants, loans and federal work-study. The money is awarded through the U.S. Department of Education and it is used to pay for a student's tuition, room and board, books, supplies and other college related expenses. Grants are free money that you do not have to repay, loans have to be repaid and federal work-study is earned by working in a job position located on or off of your school's campus.

There are four basic types of federal aid grants which include the Federal Pell Grant, Federal Supplemental Educational Opportunity Grant (FSEOG), Academic Competitiveness Grant (ACG) and the National Science and Mathematics Access to Retain Talent Grant (National SMART Grant). You will never have to repay grant money unless you withdraw from school.

The different types of federal student loans include Federal Perkins Loans, Stafford Loans, Direct Loans, Federal Family Education Loans (FFEL) and the Parent PLUS Loan. Federal student loans provide flexible repayment options and you will have a choice to consolidate your loans after graduation.

Many students choose to participate in the federal work-study program. Most students are able to locate a job on campus, however, some students choose to work at an off-campus location. If your job is off-campus, then the employer is normally a private nonprofit organization or a public agency, and the work that you perform must be in the public interest.

In order to receive financial aid, you must apply for the aid and qualify for it by demonstrating a financial need. You must also 1) have a high school diploma or GED; 2) have a valid social security number; 3) be enrolled or accepted into an eligible program at a participating school; 4) be a U.S. citizen or eligible non-citizen; and 5) register with the Selective Service if you are a male between the ages of 18 and 25.

In order to apply for financial aid, you must first complete the Free Application for Federal Student Aid (FAFSA). You can apply by visiting any postsecondary institution's financial aid office or you can apply online at www.fafsa.ed.gov. A college Financial Aid Counselor can assist you with any specific questions you might have about the application. You can also call the Federal Student Aid Information Center at 1-800-433-3243 for additional questions or concerns.

In addition to federal aid, many schools offer scholarships, state aid and private loans to students. Also, many employers have tuition assistance programs for their employees. Overall, there is a lot of money out there for students. That is why it is so important to apply for financial aid early and submit all of your paper work before the deadline. Do not miss out on the opportunity to receive financial assistance to help fund your college education.

Sources:
http://www.fafsa.ed.gov/hera.htm
http://www.fafsa.ed.gov