FAQ

What is financial aid?
Financial aid refers to funding provided to students to help pay for their education. It can include scholarships, grants, loans, and work-study opportunities. The goal is to make higher education more accessible to students who demonstrate financial need or meet other eligibility criteria.

How do I apply for financial aid?
To apply for financial aid, you must complete the Free Application for Federal Student Aid (FAFSA). This application collects financial information from you and your family to determine your eligibility for various types of aid.

What is the FAFSA, and why is it important?
The FAFSA (Free Application for Federal Student Aid) is a required form for all federal student aid programs, including grants, loans, and work-study. It is also used by many state and institutional programs to award financial assistance.

When should I apply for financial aid?
You should submit your FAFSA as early as possible. Deadlines vary by state, school, and program, but typically, you can begin applying for the upcoming academic year in October.

What is the difference between grants, scholarships, loans, and work-study?

• Grants: Financial awards that do not need to be repaid, typically based on financial need.

• Scholarships: Merit-based awards that also do not need to be repaid. These may be based on academic achievement, talent, or other criteria.

• Loans: Borrowed funds that must be repaid with interest. There are both federal and private loan options.

• Work-study: A program that allows you to work part-time while attending school to earn money to help pay for your education.

What is my Expected Family Contribution (EFC)?
Your EFC is the amount of money your family is expected to contribute toward your education, as determined by the FAFSA. It is calculated based on your family’s income, assets, and other factors. A lower EFC may qualify you for more financial aid.

How is financial need determined?
Financial need is calculated by subtracting your Student Aid Index (SAI) from your Cost of Attendance (COA). The SAI measures your family’s ability to contribute to college costs and is based on parent and student income, assets, family size, number in college, and tax allowances. A lower SAI indicates higher financial need.

Can I receive financial aid if my parents’ income is high?
Yes, you may still receive financial aid even if your parents have a higher income. However, the amount of aid you qualify for may be reduced. Some forms of aid, such as merit-based scholarships, are available regardless of financial need.

What if my financial situation changes after I submit the FAFSA?
If your financial situation changes significantly (due to job loss, medical expenses, etc.), contact your school’s financial aid office. You may be eligible for a special circumstances review, which could lead to adjustments in your aid package.

Can I appeal my financial aid offer?
Yes. If you believe your financial aid package does not accurately reflect your financial need, you can submit an appeal. This typically requires documentation of special circumstances, such as changes in income, family size, or unusual expenses not included in your original application.

What is the Cost of Attendance (COA)?
The Cost of Attendance is the total estimated cost of attending a school for one academic year. It includes tuition, fees, room and board, books and supplies, personal expenses, and transportation. Your school’s financial aid office can provide an estimated COA.

Are there any deadlines for applying for financial aid?
Yes, financial aid applications have deadlines that vary by school, state, and type of aid. Be sure to check your school’s financial aid website for the most current information. Many schools also have priority deadlines for certain types of aid.

What is the difference between federal and private loans?

• Federal loans are issued by the government and usually offer lower interest rates, flexible repayment options, and protections such as income-driven repayment plans and deferment or forbearance.

• Private loans are issued by private lenders (e.g., banks or credit unions) and may have higher interest rates and fewer flexible repayment options. Be sure to carefully review terms and conditions before borrowing.

Do I need to apply for financial aid every year?
Yes. You must complete the FAFSA (or other required forms) every year to maintain eligibility for financial aid. Your financial situation and eligibility may change, so it’s important to update your application annually.

What happens if I don’t receive enough financial aid to cover my costs?
If your financial aid package does not fully cover your cost of attendance, you may need to explore additional funding options such as private loans, external scholarships, or payment plans offered by your school.

Is financial aid taxable?
Some forms of financial aid, such as scholarships and grants, are not taxable if used for qualified educational expenses like tuition, fees, and books. Loan amounts are not considered taxable because they must be repaid. Always consult a tax professional to understand your specific situation.

What are outside scholarships, and how do I apply for them?
Outside scholarships are financial awards offered by organizations or businesses not affiliated with your school. These can be based on merit, need, community involvement, or other criteria. You can find them through scholarship websites, local community organizations, nonprofits, and businesses.