Always Apply For Financial Aid!

Parents who think their income is too high for their son or daughter to qualify for financial aid are making a HUGE MISTAKE!

When parents think they make too much money to be eligible for financial aid, they are only thinking of “need-based” financial aid. Need-based aid only considers a family’s financial situation.

In contrast, the majority of colleges also offer “merit-based” financial aid. Merit-based financial aid does NOT consider a family’s income and assets; it includes scholarships and grants based SOLELY on student’s academic achievements, such as grade point average and SAT/ACT test scores. A family’s annual income may be extremely high, but their student can still win merit-based awards worth tens of thousands of dollars if the student has outstanding grades and good test scores.

It is important to apply for financial aid as a freshman because even if a student does not receive any need-based financial aid their first year in college, it gets them registered in the college’s financial aid system. Students want to be “in the system” because then they are part of the college’s annual budget and are considered for financial aid each year. You never know when a family’s financial situation may change (income and/or assets drop) so that a student will become eligible for substantial need-based scholarships and grants.

Furthermore, applying for financial aid allows families to be eligible for government loans. These loans are the best thing going for families who need to borrow money for college. Loans from the federal government have excellent interest rates, outstanding repayment options (such as no repayment until 6 months after the student graduates), and some are “subsidized” (meaning the government will pay the interest on the loan until the student graduates).

The moral of the story: ALWAYS APPLY FOR FINANCIAL AID.

For more information visit MyCollegeCalendar.org.