Getting Financial Aid: 4 Different Kinds of Financial Aid for Students

Getting Financial Aid: 4 Different Kinds of Financial Aid for Students
  • Opening Intro -

    The first step in applying for financial aid is completing the FAFSA, or Free Application for Student Aid.

    There are four main types of financial aid. These are:

    ● Grants

    ● Work Study

    ● Loans

    ● Scholarships

-------------------------------------

Getting financial aid may seem daunting at first glance, but it’s really not that complicated. Even if you think you may not qualify, it is definitely worth applying to see if you can get any type of financial aid. It can be a huge help in making college more affordable.

The first step in applying for financial aid is completing the FAFSA, or Free Application for Student Aid. In order to complete the FAFSA, you will need to enter all of your financial information and possibly your parents’ if you do not meet the criteria for an independent student.

In order to determine this, you will be asked questions such as if you are married or have minor children. You will also need to turn in your tax return from the previous year, which can be retrieved directly from the IRS website directly from the application.

There are four main types of financial aid. These are:

● Grants

● Work Study

● Loans

● Scholarships

A grant is a sum of money that is given to cover the cost of books or tuition. It does not have to be repaid. The most common type of grant is the Pell Grant.

Work Study is a federal program that allows on to work on campus at minimum wage in order to subsidize the cost of tuition. These are usually on campus jobs like working at the school bookstore or helping out in the computer lab.

Student loans are the most common types of loans. These are taken out by college students, in their own name, to help pay college costs. The three types of loans are subsidized Stafford loans, unsubsidized Stafford loans, and Perkins loans.

Perkins loans. They all offer much lower interest rates and more flexible payment rates than most loans you could get through a bank. In addition, the subsidized Stafford loans and the Perkins loan defer payment for as long as you are attending school and for six months afterwards, as well as deferring the accrual of interest. There are also parent loans, which are taken out by parents to help pay their children’s education costs.

Scholarships are special programs that pay for part or all of college cost under certain circumstances. In order to qualify for a scholarship, a student must meet certain criteria. It may be maintaining a particular GPA, having a certain major, or being a member of a specific ethnic group. Scholarships may be given by the school, a civic organization or other groups. Look around, because scholarships can be found in many places, and they do not have to be repaid.

Financial aid is a huge boon for college students, and has helped many people who would not otherwise have been able to attend. Whether you are going to college, or even just thinking about it, the financial aid office should be one of your first stops on campus. For more information on the subject, check out http://www.finaid.org. And be sure to sure this article with anyone you know who is thinking of college! Everyone should know there are many ways to get help with covering the cost of books and tuition.

-------------------------------------------------------------------------------------------------------------

end of post idea

-------------------------------------------------------------------------------------------------------------

Helpful article? Leave us a quick comment below.
And please share this article within your social networks.

Categories: Finance