Once those school aid offers start coming in, it is important to review them in detail to determine which schools are giving you the best deal. If your college selections include public, private, in-state or out-of-state schools, you will notice the difference. Don’t assume the state school will offer the best deal. David received award letters from the University of Illinois, Arizona State and the University of Southern California (private). USC was the most expensive school on the list, but they came up with the best financial aid package. That, along with the fact that they had a top film school and the warm weather was a no brainer for him. From a professional perspective I have observed two things; the more expensive the school, the more money is made available to the student; if a school really wants you, the money will be there!
It is important to have an understanding of what should be included in an award letter. If you have a -1500 SAI (Student Aid Index) you should receive the maximum Pell Grant which may make you eligible for Federal Work-Study and the Federal Supplemental Opportunity Grant (FSEOG). If this is missing from your award letter, you need to call the financial aid office to make an inquiry.
Incoming freshmen are offered $5500 in student loans which is split between subsidized and unsubsidized. You will have to confirm whether you will accept or not accept the loans and grants that are offered. You do not have to accept the total loan amount offered. Only take what you need. Freshman year is the beginning of students getting into debt. If the package is not affordable for you, call the Financial Aid office and ask if there are additional monies to be offered or scholarships for which you qualify. If your financial situation has changed significantly from your prior, prior year income, you need to inquire about the appeals process. To get more specific information on award letters check out factors schools consider when awarding aid: cost of attendance (COA), family size, number of family members in college or grad school, assets, major and talent. Make sure you understand the following definitions:
- Grants–money that does not have to be repaid, i.e. Pell, FSEOG, (Federal Supplemental Opportunity Grant) Institutional Grants.
- Work Study–money earned by working on or off campus.
- Scholarships–money that does not have to be repaid.
- Loans—money that must be repaid.
- Subsidized Loans—interest paid by the government while a student is in school, during grace periods, and authorized periods of deferment.
- Unsubsidized Loans—student responsible for paying the interest.
- SAI— (Student Aid Index)-schools subtract SAI from the COA (Cost of Attendance) to determine financial need.
Remember, requests for additional aid should be made prior to acceptance or before May 1.