
There are many financial options available to you in order to pay for college. Here are a few of them:
The easiest way to pay for school is to have enough money to pay for it sitting in the bank! If college or private school is still several years away, then start saving now. One popular way to save up college tuition is to use a 529 plan. For information on 529s, please see Introduction to 529s which covers the basics.
If you haven't saved enough money, then free money is certainly the best money! Look for scholarships and grants that might be available to you. GradeSaver is a big fan of scholarships since we have been committed to helping students achieve academic excellence for many years. Lots of times getting good grades in school will qualify you for a merit scholarship.
A good place to start your search for available scholarships is the The College Board. Another good source of information on the web is located at U.S. News & World Report.
If you need help with a scholarship application, then read our free guide to writing scholarship essays
Federal Work-Study (FWS) pays students to perform jobs. Work study is exactly what it sounds like -- you work to earn money to pay for your studies. Your school will provide you with information on what is available through the financial aid office.
Most of these jobs are focused on community service or work related to your studies. Undergraduates are paid hourly and the jobs do not pay much above minimum page usually.
There are on-campus and off-campus jobs. On-campus jobs are done for the school while off-campus jobs are provided by non-profits and public agencies.
By far the largest source of funds for higher education is the federal government. There are several types of federal loans to choice from.
Federal loans should be the first place you look for funds after you have received scholarship or grant money. The reasons are simple:
To apply for a federal loan, you need to fill out a FAFSA.
Stafford loans are student loans that must be repaid. They are available to both undergraduate and graduate students. The loan amount is capped. If your school is a member of the Federal Direct Loan Program, then your funds come directly from the federal government. If your school is a member of the Federal Family Education Loan Program, then a private lender funds your loan but the federal government guarantees it.
If your Stafford loan is unsubsidized, then you need to pay all the interest that accrues on the loan. You may qualify for an unsubsidized Stafford loan, regardless of family income, even if you do not qualify for a subsidized Stafford loan.
Based on your financial needs, you might qualify for a subsidized Stafford loan. In this case the federal government pays your interest on the loan while you are in school, during grace periods and if you take deferment periods.
Federal PLUS loans are loans made to parents, and can be used to cover up to the total cost of your education, excluding any financial aid you receive. If your parents can not get a Plus loan, then you are likely eligible to borrow more from Stafford loan funds.
Your parents do not need to show financial need for a PLUS loan, but they will undergo a credit check.
Perkins loans are low-interest loans that you have to repay. There is a maximum amount available to undergraduate and graduate students. A fixed amount of funding is provided to your school, and your school determines the students who have the greatest need for this funding. These are very similar to the Stafford loans in the sense that they have no fees and have longer grace periods.
State loan programs can be a terrific way to get extra money for college, especially if you are planning on attending in-state. This link provides a list of state agencies with information on the state education programs, scholarships, grants and colleges.
Private loans are available and should be used to bridge the gap between your financial aid, federal loans and the actual cost of attending school. Think of it this way:
Cost of Education ? (Savings + Financial Aid + Federal Loans) = GradeSaver Student Loan
GradeSaver Student Loans are a good way to get supplemental funding for your additional financing needs. If you are in this position, then Apply Now.
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The lender for Gradesaver Student Loans is RBS Citizens, N.A., Member FDIC and Equal Opportunity Lender. RBS Citizens, N.A. may sell your student loan to a third party. RBS Citizens, N.A. will only sell your student loan if the third party agrees to honor all of RBS Citizens, N.A.'s promises to you, including all promised benefits that you will receive or might become eligible for during the loan repayment period.