Hot Tips for Acing the Financial Aid Process
Start early
Most families that have been through the financial aid process will say they should have started the process sooner. Even in high school, there are important steps you can take to prepare for college. If you’ve already graduated high school, start the process now—scholarships are snatched up quickly, and you’ll want to have your FAFSA submission ready by early January to ensure your place in the federal aid queue.
Exhaust your free money options first
Start looking for scholarships and apply for grants and work-study as soon as possible. Regardless of family income or GPA, you could be eligible for free money. To find free money, check out our free Scholarship Search Engine, the industry’s largest, most comprehensive database of over 2.4 million awards totaling over $3.4 billion.
Don’t assume
Just about every family is Eligible for some financial aid—even those that think they earn too much or don’t know enough about their options. Fill out the FAFSA and let the U.S. Department of Education determine the amount of financial aid you’re eligible to receive. They’ll consider a number of factors—including college costs, financial need, and non-need based criteria, such as academic performance, ethnicity or nationality, and special aptitude for athletics, music, art, leadership or other criteria.
Remember, some sources of aid, such as unsubsidized Stafford and PLUS loans, are available regardless of need.
Submit the FAFSA as early as possible
The official deadline for submitting a FAFSA varies from state to state. Regardless of the deadline, submit your FAFSA as soon after January 1 as possible. While there is no limit to the number of student loans available from lenders, students who respond earliest after the appropriate date have the best chance of getting need-based financial aid.
Don’t forget—you must complete the FAFSA each year to be eligible for financial aid for the new academic year.
Apply Right
Complete the FAFSA as accurately as possible the first time to avoid delays in processing. You can complete the Pre-Application Worksheet to help you organize your information and your thoughts, and prepare you for the application. Read the directions carefully, and be sure to answer every question—even if only to respond “zero” or “not applicable.”
Apply for loans
You can initiate a student loan at any time by starting the application process online for a Federal Stafford, Federal Parent PLUS or NextStudent Private loan. Even if you haven’t submitted the FAFSA, you can get the process started, and complete it when you receive your financial aid package. Once you receive that package, usually in April, you’ll have just a few short months to before school starts to secure your loans.
Consolidate after you graduate
Federal consolidation is one of the smartest, most economical repayment options available. This program allows you to consolidate one or more eligible loans into a single new loan at a great, low rate—and no additional fees. Right now Federal consolidation Loan interest rates are at record lows starting at 2.875%. For most, this means a savings of more than 60%, plus the convenience of making a single payment and possibly extending the repayment period for even lower monthly payments.
Keep track
The financial aid process can be long, and there are so many things to remember. Make photocopies of all forms and applications, and keep them in a handy file. And sign up for NextPath, the customized message service that notifies you about important financial aid deadlines, tells what you should be doing and when, and offers up-to-date student loan news so you won’t miss out on college funding opportunities.
Financial Aid Advisor
» The Inside Scoop for High School Students
» Types of Financial Aid: Know Your Options
» The Financial Aid Process
» Your First Step: Completing the FAFSA
» What you Really Need to Know about Financial Aid
» Important Dates: Your Financial Aid Calendar
» Student Loans
» Student Loan Repayment