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Financial Aid Myths

<h1>Financial Aid Myths</h1>
<h3>Don’t Believe Everything You Hear</h3>
<p>For those who need help to get through college; there are literally billions of dollars in financial aid available. A lot of people are ignorant about the financial aid options available and eligibility for such. To demystify the realm of financial aid options for students wishing to get financial assistance here are some dispelled myths.</p>
<h3>College Is Just Too Expensive for Our Family</h3>
<p>Although various media houses keep running stories on how college fees and tuition are skyrocketing, particularly this year, we believe that they are stereotyping. On average, a good 4-year college education will cost $7,020 per annum – fees and tuition. It doesn’t always go hand in hand that a good college education must be expensive!</p>
<h3>There’s Not a Lot of Financial Aid Available</h3>
<p>Just to prove this misconception wrong, let me put a figure to the worth of financial aid. Student financial aid amounts to over $168 billion annually. Statistics show that a very high percentage of students receive financial aid in one form or another. As expected, very little of this financial aid comes in the form of grants while majority is in the form of low interest loans. Each college offers varying financing packages and you should be able to critically analyze them to ensure that there are no hidden costs while still making a lot of financial sense.</p>
<h3>My Parents’ Income Is Too High to Qualify for Aid</h3>
<p>Financial aid is not just available for the low income earners. A lot of parameters are looked into for someone to qualify. If your parents’ income is high, they will analyze how many children in your family are in college, costs of college insurance among other things. A lot of students are awarded aid on application even if they thought they would be disqualified based on family income.</p>
<h3>My Parents Saved for College, So We Won’t Qualify for Aid</h3>
<p>It is always good to plan and save for college since most financial aid granted is in form of loans. You can use your savings to service the low interest loans. Ultimately, it means that you have fewer loans to repay. Most often than not, qualification of a family member to get loans depends on family income and not money tucked away as savings.</p>
<h3>I’m Not a Straight ‘A’ Student, So I Won’t Get Aid</h3>
<p>Albeit most scholarships are awarded based on performance, a greater percentage of aid is available in form of federal aid granted on financial need without the slightest consideration on academic merit. It should be noted however that the students need to maintain an average performance in order to renew aid annually.</p>
<h3>If I Apply for a Loan, I Have to Take It</h3>
<p>On application of a loan and being granted the same, families can turn down the offer if need be. Shirley Ort, Director of Scholarships and Student Aid at the University of North Carolina said that everybody should apply for financial aid – in her opinion. “Since student loans have very low interest rates, I would advice students to apply and compare various loans offered by different institutions and getting the best financial deal.</p>
<h3>Working Will Hurt My Academic Success</h3>
<p>Balancing full time classes and full time employment is not the easiest thing to do. Statistics from various colleges show that students who work and study at the same time usually thrive academically. As a student you should look for work study opportunities available in your college to help you in gaining work experience while still paying college expenses.</p>
<h3>I Should Live at Home to Cut Costs</h3>
<p>Although boarding fees are bulky, you may end up saving more money by being a boarder. Living at home comes with implicit costs such as parking and commuting charges. On the other hand living on campus might give you the opportunity to get benefits such as on-campus jobs.</p>
<h3>Private Colleges Are Out of Reach for My Family</h3>
<p>Unknown to many, private colleges usually have more money set aside than public colleges for distribution as financial aid. They do so in order to have students from all walks of life in their fraternity. Instead of looking for a college which your family can afford, you should look for one that meets your career, academic and personal needs. Keep in mind that higher college costs constitute better chances of showing need for financial assistance!</p>
<h3>Millions of Dollars in Scholarships Go Unused Every Year</h3>
<p>With the high number of people in need of financial aid, it is shocking that millions of dollars in scholarships go unclaimed. The higher percentages of unclaimed scholarships are usually for minority groups or employees of certain corporations at cetera. Although most financial aid comes from the government, it is also good to look through nongovernmental ones.</p>
<h3>My Folks Will Have to Sell Their House to Pay for College</h3>
<p>There is no college within the US that will recommend your parents to sell their house to pay for college. In fact home value is rarely considered in calculating federal financial qualification. Although home equity may be considered in analyzing eligibility for institutional grants, family income is a preferred deterministic factor.</p>
<h3>We Can Negotiate a Better Deal</h3>
<p>If certain non discretionary costs like very high medical bills have been overlooked, virtually all colleges will be sensitive about it. However, since they adhere to strict financial assistance rules, they cannot bend an award to make a family comfortable with a particular college if they have got a better deal at another institution.</p>