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by Gina LaGuardia
Picture this scenario, mid-March,
next year:
You've been accepted to your dream
college. Congratulations! Your hard work, commitment,
and college application dedication has finally paid
off. Or, has it?
You're not so sure, especially after
you and your parents looked over your Expected
Family Contribution (EFC), listed on your Student
Aid Report (SAR). You couldn't help but be
a little concerned at that EFC figure. It seemed like
a lot to be expected to contribute toward college costs.
But, you crossed your fingers and hoped for the best.
You were definitely going to get aid... right?
Perhaps not. It may turn out that
you don't qualify for enough need-based student aid,
namely federal grants and loans. Here's why: Your family's
income and assets are tabulated based on a standard
(but not perfect!) federal methodology, which decides
what portion of your dough you get to keep and what
portion you can afford for academics. If the government
feels your family can cough up a certain amount of
cash for college -- and it can't -- it may be time
to explore alternative financial remedies.
Bargain
"Even if a school's award letter
has left you with a package you cannot accept because
your need was not fully met, you may still be able
to negotiate a better deal," explains Kalman Chany,
author of Paying For College Without Going Broke 2000(The
Princeton Review, $18).
Have your parents attempt a haggle, but make sure they read "For
Parents: You Can Negotiate Financial Aid," before calling the college
(check it out at StudentScoop.)
Search for Scholarships
Many scholarships are awarded not
on your family's financial status, but on your academic
potential, goals, ethnicity, etc. Look into free on-line
scholarship search engines that match you to specific
awards: www.freschinfo.com, www.srnexpress.com, www.fastweb.com.
Or, scour your local bookstore for
books like The Scholarship Advisor 2000 (The Princeton
Review, $25) and The Scholarship Handbook (The College
Board, $24.95). Then, put some time and effort into
landing yourself some free college money.
"Diligence and persistence pay," says
Chris Vuturo, The Scholarship Advisor 2000 author,
who scored $885,000 in scholarships when he was a student.
(not too shabby!)
Military Opportunities
You may wish to apply for a Reserve
Officers Training Corps (ROTC) scholarship offered
by the Army, Navy, Air
Force, and Marine
Corp (accepted at most colleges).
These programs allow you to earn either
a full or partial scholarship plus a monthly stipend
in exchange for four years of active duty and two more
of reserve duty after college. Speak with your local
Armed Forces recruiting officer or ask your high school
counselor for more information.
Non-Federal Loans
If you don't qualify for federal,
need-based loans, look into...
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PLUS loans: Loans to your parents
for your college education |
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Private loans: Available from
lenders such as TERI, Citibank, Sallie
Mae, Nellie
Mae, PLATO,
etc. |
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Home equity loans or extended
lines of credit: Have your parents check with their
bank. |
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Stafford loans (unsubsidized):
Up to $18,000 (total) is available for your first
four years of college. |
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State-sponsored programs. |
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Then, to estimate the amount
of educational debt you and your family can reasonably
afford, check out the free on-line loan calculators
at www.finaid.org,
or www.salliemae.org. |
Pay It Off Little by Little
Many colleges offer monthly payment
plans that allow families to spread payments over the
academic year instead of having to pay in one up-front,
lump sum. Other schools even accept credit card payments
toward tuition. Have your parents contact your choice
school's financial aid office to discuss such options.
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