If you have not filed the Free Application for Federal Student Aid (FAFSA) for the 2008–2009 school year, do it now! The fastest way to file is online at www.fafsa.ed.gov.
If you submitted your FAFSA and are facing a gap between any need-based aid you were awarded and your school's cost of attendance, consider some of these solutions:
- Get a student loan. Seventy percent of students use student loans to pay for their education. Lenders such as Nellie Mae allow students and parents to borrow up to the full cost of attendance less other aid received. Nellie Mae's federal and private student loans feature competitive interest rates and borrower benefits and are processed quickly.
- Tell the school. Your college may not always have the funds available, but starting a dialogue with the financial aid office may improve your aid package. Did another college offer you more gift aid? Ask your school to match it. Has your family suffered a serious financial setback since you filed your FAFSA (such as a death, illness, job loss, or natural disaster)? If so, ask your financial aid office for an individual review of your situation. It may qualify you for additional aid.
- Keep looking for free money. Invest some time on a free money hunt. Use a free scholarship search site like www.collegeanswer.com with a database of 2.8 million scholarships totaling $16 billion. Watch out for scholarship scams that ask you to pay for searches, and stick to reputable sites like College Answer.
- Work for it. Between 70% and 80% of students work to raise cash for college. Consider taking a part-time job (less than 20 hours per week) to help pay down your tuition balance. Talk to your financial aid office about co-op education programs, work-study jobs, or off-campus positions. If an employer reimburses or subsidizes education costs, better still.
- Ask your family. Parents or grandparents may be willing to access investments, refinance a house, or take out a student loan. These are serious personal financial decisions, so start conversations about paying for school as soon as possible.
- Learn within your means. If all else fails, you may have to attend a less expensive school even though it might not be your first choice. On the bright side, it may be temporary until you figure out how to pay for the pricier college.
- Take a test. Some schools let you reduce tuition by passing for-credit tests.
You are so close to your freshman year at college—don't let a cash shortfall sidetrack your plans. Nellie Mae has more information about financial aid and applying for a student loan for the upcoming semester.
A 2006 American Council of Education study reported that 1.5 million undergraduates who didn't submit a FAFSA were eligible for Pell Grants. Grants and scholarships are the ultimate financial aid—free money with nothing to pay back. While colleges award funds on a first-come, first-served basis, money can become available when accepted applicants choose other schools.
