Types of Aid

PAY FOR COLLEGE

Types of Aid Available

There are three basic types of financial aid: grants, work study and loans. Typically, students are offered a combination of their financial aid awards. The following programs are applied for by filing a FAFSA.

• Grants ~ Grants do not have to be repaid/need based. Free money.
• Federal Work Study ~ Employment opportunities.
• Student Loans ~ Loans must be repaid.
• Scholarships ~ Free money. (Most require you to file a FAFSA)

Understand all of your options when it comes to paying for college.

Always consider what you’ll have to repay

Repayment of student loans should be only a small percentage of your salary after you graduate. If you expect to pay more than 15 percent of your annual salary for student loans, you might have difficulty making your monthly payments.

Estimates of salaries for different careers are available at: www.bls.gov/oco. Also available in the Career and Employment Service center.

ALERT: Although your credit history was not taken into account when you received federal student loans, your credit history will be affected if you do not repay your federal student loans under the repayment plan you agreed to when you entered repayment.

Don’t ignore debt…it won’t go away.

NOTE: A loan, whether in default or not, cannot be discharged in bankruptcy in most cases.