Because financial aid is governed by fairly complex regulations, a definitive answer to that question...an answer that applies to all students...is not possible.
But, it is sometimes possible to meet with a college admissions or financial aid counselor and come away with an improved scholarship or financial aid package.
To apply for financial aid, students most complete and submit a federal financial aid form (FAFSA) which consists of questions about family assets (including savings and investments) and earnings. Some colleges, primarily privates, ask students to complete a second such form.
The financial information on a student's FAFSA is fed into a formula to determine whether or not he or she is eligible for federal grants and/or subsidized (low interest) student loans. Understand that other kinds of aid, including many scholarships and unsubsidized loans, do not require established need, but federal grants and subsidized loans do. You also need to realize that federal dollars can not be used to award more dollars than required to meet a student's full need.
Therefore, the only way to get an increase in the amount of federal aid offered to you in your initial financial aid award letter is to convince a financial aid officer that there has been a significant change in your financial standing since the submission of your FAFSA or that there are special circumstances not reflected in your FAFSA answers. If you can prove what you say, you will have a chance.
Financial aid offered to you by the college you attend is not necessarily subject to the same regulations as federal dollars. Colleges and universities can and do offer all kinds of scholarships to students who have no financial need. The very most competitive colleges, however, award money almost exclusively on the basis of need, and meet 100% of every student's need as determined by the FAFSA.
Other colleges and universities, especially second and third tier privates, often use institutional scholarships to compete with more selective and/or less expensive colleges. Such schools are generally very comfortable using their own dollars to sweeten the pot for high-achieving students.
Thus, a good student admitted by such a college may be able to wind up with an improved financial aid package if he or she can produce award letters from other colleges which offer better packages, or if he or she can convince an admissions counselor, director, or dean that the original financial aid package would make it difficult (or impossible) for the student to attend the college.
Remember, you are asking for help, not negotiating. If you behave like an aggressive business professional or consumer, you are very unlikely to get what you want. And, remember, there are any number of laws, rules, and regulations to which college administrators must adhere; they are not always able to help even when they want to. In some instances, however, they may enjoy a fair amount of discretion. So, if you need more financial help than you are first offered, open the lines of communication with someone in the admissions office...it can only help.
Student loans in the form of Federal student loans in the United States are categorized under Title IV of the Higher Education Act. Such forms of loans are available to both college and university students as funds disbursed directly to the schools and are also used to supplement personal and family resources, grants, scholarships and work-study. They are usually subsidized by the U.S. Government but may also be unsubsidized depending on the students financial need.
Whether subsidized or unsubsidized both forms are guaranteed by the Department of Education directly or through any guaranty agencies. Regardless of the credit score or other financial issues nearly all students are eligible to receive these loans. Both the types do offer a grace period of six months that means that no payment are due until six months after graduation or after the borrower becomes less than half-time student without graduating. They have a fairly modest annual limits. The dependent undergraduate limit effective for loans disbursed may vary from $5,500 to $ 7,500 per year for freshman, sophomore or senior undergraduate student, as well as students enrolled in teacher certification coursework for graduate programs.
For independent undergraduates the limits are slightly higher varying from $ 9,500 to $ 12,500 per year for all the three categories. Subsidized loans are usually offered to students with a demonstrated financial need but such need may vary from school to school with interest rates payable while the student is still in college. Unsubsidized loans are also guaranteed by the Government, but here the Government does not pay interest for the student, rather the interest accrues during the college. The accrued interest for such loans is usually capitalized into the loan amount and the borrower will have to begin making the payments on the accumulated total. Students may choose to pay the interest while still in college while few students choose to exercise this option.
Federal loans for any graduate students usually does have a much higher limits although the limits may differ for certain courses of study. The students could also take advantage of the Federal Perkins loan that has a limit of $ 6000 per year for graduate students. Such loans are usually regarded as need-based student loans that is offered by the U.S. Department of Education and is used to assist college students in funding for their post secondary education program. Such loans usually carry a fixed interest rate of 5% for the duration of ten year repayment period and a nine month grace period so that the borrower can begin with the repayment in the tenth month upon graduating, falling below half-time status or withdrawing from the college and university.
Both Daniel Kane & Brain Strom are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Daniel Kane has sinced written about articles on various topics from Education, Online College and College Education. Daniel Kane, a veteran director and dean of admissions, has created and maintains websites on and. Daniel Kane's top article generates over 9900 views. to your Favourites.
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