The Financial Aid Process

Once you successfully complete the admissions process, it's time to start thinking about how to pay for school. Next to buying a home, planning for college expenses very well may be the largest financial project you ever encounter, and it can be confusing. Below is an outline of how the process of getting money for school typically works. Make a point of contacting a financial aid counselor at your school as early in the process as possible. Your school may require other things of its new or returning students, so it's very important that you get in touch with your school's financial aid office.

1. Fill out the Free Application for Federal Student Aid (FAFSA)

This is the first step in applying for most types of aid. In order to be eligible to receive student financial aid, you need to fill out a Free Application for Federal Student Aid (FAFSA) every school year. The federal government uses the information you provide on the FAFSA to determine how much money your family can afford to pay towards college. This dollar amount is known as Expected Family Contribution, or EFC.

2. Review your Student Aid Report (SAR)

Once your FAFSA has been processed, you should receive a Student Aid Report (SAR). This document will give you your Expected Family Contribution (EFC). It's very important that all information on the SAR is accurate. If there are any inaccuracies, contact the financial aid office at your school for help.

3. Watch for an Award Letter from your school

If you requested financial aid from the school to which you were accepted, you should receive an award letter indicating the aid that you've been awarded. This aid may include scholarships, grants, work-study, or federal student loans.

It's very important that you take note of the deadline for responding to your award letter, and respond on time! If you miss the response cut-off, you could be at risk of losing your financial aid.

4. Complete your loan application or Master Promissory Note (MPN)

If you choose to get a federal student loan based on the financial award from your school, or if your parent wishes to apply for a loan to pay for your education, you would be applying for funds under the Federal Family Education Loan Program, or FFELP. FFELP loans include the following programs:

Stafford
Parent Loan for Undergraduate Students (PLUS)
Graduate PLUS (GradPLUS)

5. Receiving funds for school

You will not receive the funds from your loan directly; rather the money will be sent directly to your school. The money is first applied to the outstanding balance on your student account, which will typically include tuition, room & board and other such charges. After those payments have been made, you will receive any remaining funds to cover school-related costs, such as lab fees and books.

If you have questions about this information, please email us, chat with a representative, or call 800.337.6884.