Debunking Financial Aid Myths

The financial aid process can be confusing and leave you with lots of questions. Below are a few tips on how to take advantage of the process so that it doesn't take advantage of you.

Myth 1 - "The more the better!"

Scholarships, scholarship, scholarships!!

While it is good to get as many scholarships as you can to help pay for college, there are also risks. This article explains how more can actually be less.

Be sure to contact your financial aid office for any questions on the cap for your package, as financial aid packages vary person to person and by the school.

Myth 2 - "I've got time!"

Financial aid applications do have federal and state submission deadlines. It is important that you do not miss these dates. The federal deadline for online applications for the upcoming school year is 11:59 pm Central Time (CT), June 30th, 2020. However, state and individual school FAFSA deadlines could be as early as February 2019 (i.e California's deadline is March 1st).

Scholarships will have their own deadlines. It is important to note those dates and be sure to have everything you need before they arrive.

The National Association of Student Financial Aid Administrators (NASFAA) has a helpful tool that allows you to create a personalized timeline of all the dates for your scholarships and FAFSA.

Follow the link by clicking the picture above to see how to sign in and create your timeline.

Remember to check with your school to find out if their deadline differs from the federal and state deadlines. You don't want to miss out on maximizing your financial aid package.

Myth - 3 "Financial aid is free money!"

Scholarships and Grants

Grants and scholarships are types of aid that do not have to be repaid. However, if you withdraw from school you will be required to repay any unused portion.

Loans (Unsubsidized vs. Subsidized)

Loans are borrowed money and will need to be paid back with interest. There are two types of loans - subsidized and unsubsidized one may receive in their financial aid package.

With subsidized loans, the government pays on the interest while the student is in school. With unsubsidized loans, interest begins to accumulate immediately after the loan is taken out.

Work Study

Work study is a program that may or may not be offered by your school. This program allows you to work and earn money for school.

Myth - 4 "You have to make a certain income to qualify"

Applying for financial aid isn't centered around the notion of " a certain income." Every case is unique and evaluated by a variety of determining factors, including where you decide to attend college . If you believe you are qualified for aid, please visit this link for further information.